My favorite ETF reads over the past week, along with my ETF tweet and chart of the week!
“One of the other gaps I see in the market right now is that, for many investors – particularly in the sustainable ETF space – the change isn’t real to them.
“The complications of not approving an application become stronger, because people are looking for other ways to do the same kinds of things that they would do with an exchange-traded product.”
“As institutional investors gain comfort with a wider array of ETFs, the liquidity of these funds should improve for all shareholders and result in lower trading costs.”
“We like to launch funds when the asset class is out of favor, so you’re not going to find us chasing a lot of hot ideas.”
“ARK Invest, headed by outspoken bitcoin bull Cathie Wood, filed an application this week with the Securities and Exchange Commission for an ETF that would track the performance of the S&P Bitcoin Index.”
“Even with taking the emotion out of the process by relying on quantitative signals, no ETF can perfectly time the market.”
ETF Tweet of the Week: A recent industry trend is social influencers or well-known technical experts getting involved in ETFs. This week, there were two such launches: 1) The Roundhill Ball Metaverse ETF (META), with the involvement of Matthew Ball, and 2) The AdvisorShares Gerber Kawasaki ETF (GK), managed by Ross Gerber. ETFs are entering a brave new world…
— Ross Gerber (@GerberKawasaki) July 1, 2021
ETF Chart of the Week: The below table shows the top 25 U.S. asset managers and their current ETF market share. 20 of these managers have less than 2% share each, including several with zero presence. My takeaway? We’re still very early in the ETF lifecycle…
Source: Bloomberg’s Eric Balchunas