My favorite ETF reads over the past week, along with my ETF tweet and chart of the week!
“Congratulations to you and your staff, Senator Wyden! You’ve figured out the shortest possible path towards killing ETFs’ tax-fairness advantage.”
“The mythology behind ‘it’s easy to steal an ETF’ is driven by the HACK story.”
“Rather than being in competition for the same assets, investors should decide whether direct indexing or ETFs is best for their individual situation and needs.”
“Uranium prices – and therefore uranium stocks and uranium exchange-traded funds (ETFs) – have reached critical mass.”
“What started out as a thought experiment proposed by Cliff Asness in the late ’90s evolved into one of the most effective crowdsourced ideas in ETF product development history.”
“There’s definitely still an education gap about the differences between mutual funds and ETFs.”
“I strongly advise most investors NEVER to take these actions.”
ETF Tweet of the Week: A potential merger of Invesco’s asset management business with State Street’s would have a meaningful impact on the ETF industry. Their combined ETF market share would exceed 20%, inching closer to iShares’ 35% and Vanguard’s 29%. Interestingly, the top two ETFs offered by Invesco and State Street (QQQ and SPY, respectively) represent nearly 9% of total ETF industry assets.
.@WSJ scoop w/ @Justinbaer: Invesco is in talks to merge with State Street’s asset-management business in what would be one of the biggest asset management deals in years $IVZ $STT https://t.co/pf1ddnM0bx
— Cara Lombardo (@CaraRLombardo) September 16, 2021
ETF Chart of the Week: Active ETFs are finally having their moment, with the number of new launches surpassing passive ETFs over the last two years. Bloomberg’s Athanasios Psarofagis points out the SEC’s adoption of the “ETF Rule” has been a huge tailwind. Other factors include the success of ARK Invest, the proliferation of defined outcome ETFs, and more traditional active fund companies getting involved in the space.