The week ending Sept. 22 marks a strong post-summer resurgence for the industry, with 25 new ETF launches in all. Matthews Asia and iShares rolled out five funds each during the week with additional ETF debuts from Roundhill, VanEck, Defiance, AllianceBernstein, YieldMax and BondBloxx, among others.
First Trust and Cboe Vest added to their lineup of buffered ETFs with two funds that reset annually in September. The (GSEP ) uses FLEX options to replicate the price return of the (SPY ), while protecting investors from the first 15% of losses from the reset date. It allows for 14.76% in pre-expenses upside performance.
Meanwhile, the (XISE ) takes a different approach to focus on income. It uses FLEX options to protect against losses greater than 10% for SPY’s price return. However, it does not offer any upside exposure to SPY’s performance and instead uses FLEX options to provide exposure to the performance of short-term Treasury debt with the goal of providing annualized income of 8.19% before expenses.
GSEP and XISE have expense ratios of 0.85% and lists on Cboe Global Markets.
The (LGLZ ) debuted on Tuesday. The actively managed fund targets companies that generate at least half of their net revenue from the sale of legal cannabis products. The fund has an expense ratio of 0.75% and lists on Cboe Global Markets.
Midweek ETF Launches
Amplify launched its own ETF focused on cash flow metrics on Wednesday. The (HCOW ) is actively managed, selecting its holdings from the Kelly US Cash Flow Dividend Leaders Index that relies on metrics related to dividends and free cash flow. The methodology for HCOW includes a call income strategy replicates the sale of call options on the S&P 500 Index on a daily basis. HCOW has an expense ratio of 0.65% and lists on the Nasdaq stock market.
Meanwhile, the (FDIV ) is actively managed but subadvised by MarketDesk Indices. The fund uses a quantitative strategy to invest in 60-80 dividend-paying U.S. stocks that are likely to increase their dividend payments going forward. The fund has an expense ratio of 0.35% and lists on the Nasdaq stock exchange.
Invesco added three more funds to its BulletShares family of ETFs, which consists of funds that hold fixed income securities maturing in the same year. The new funds and their expense ratios are as follows:
Thursday saw the debut of the (WABF ). The actively managed strategy invests in debt securities in a range of maturities as well as implementing derivatives to improve returns and manage risk. The fund has an expense ratio of 0.35% and lists on the Nasdaq stock exchange.
Several more closures were announced. Three ETFs from Principal will no longer trade after the market close on Oct. 13. Those funds are as follows: