BlueStar Indexes and the Related ETFs – ITEQ and IZRL

BlueStar is worth to take a note on because the founder and CEO is Steven Schoenfeld, who was the author of Active Index Investing (Wiley Finance, 2004), co-author of The Pacific-Rim Futures and Options Markets (McGraw-Hill, 1992), and co-founder of ETF.com. He is a legendary pioneer in index investment community. BlueStar currently produces six indexes … Continue reading BlueStar Indexes and the Related ETFs – ITEQ and IZRL

Approach to Three Types of Theme Index Creation

Creating thematic index/ETFs is itself a big theme now. Many firms are launching or planning to launch such products fearing if they are left behind, the early players will seize the large portion of the market share. Working shoulder by shoulder with the largest firms to tackle these, we face two challenges: one is the … Continue reading Approach to Three Types of Theme Index Creation

“Electric Vehecle” Themed Index Creation and Existing ETFs – CARZ, EKAR, DRIV, and XKST

When it comes to creating an "electric vehicle" themed fund, the first question we ask is "is there any existing one in the market and how is it/are they doing?", then we can compare our approach and performance to existing ones to gauge if ours has a competitive edge. CARZ, EKAR, XKST, DRIV, KARS are … Continue reading “Electric Vehecle” Themed Index Creation and Existing ETFs – CARZ, EKAR, DRIV, and XKST

Shipping Index Rationale and an Existing ETF (Guggenheim Shipping ETF – SEA)

Transportation has been revolutionalized since the invention of containers and shipping them in gigantic vessels. It is estimated 90% of the cargos transportations are via ocean nowadays. Globalization is taking place and will keep expanding at a rapid speed. I anticipate more and more transactions are across the board and thanks to big platform companies such … Continue reading Shipping Index Rationale and an Existing ETF (Guggenheim Shipping ETF – SEA)

Alerian MLP ETF(AMLP) and First Trust Natural Gas ETF(FCG)

Both Alerian MLP ETF(AMLP) and First Trust Natural Gas ETF(FCG) have had their glorious heights. AMLP still claim $8.82 Billion Asset under Management (AuM) whereas FCG's AuM has since dropped from a near $1 Billion to now $151.8 Million as of today (March 31, 2018). It is not surprising to understand FCG's demise since it's peak … Continue reading Alerian MLP ETF(AMLP) and First Trust Natural Gas ETF(FCG)

AdvisorShares Meidell Tactical Advantage ETF(MATH) – A Closing ETF

A good friend prompted me to look into this fund - AdvisorShares Meidell Tactical Advantage ETF(MATH), and I was surprised to see it is set to be closed in three days - March 29,  2018. It is commonly understandable and acceptable that ETFs, similar to stocks in the sense of highly regulated by the SEC to … Continue reading AdvisorShares Meidell Tactical Advantage ETF(MATH) – A Closing ETF

Intricacies in Running an ETF

There are three intricacies in running an ETF that I come up with: coping with the cash or cash-like instrument; usage of global futures and security lending; and dealing with corporate actions. Cash exists because of redemption needs, fees, and expenses. Some stock components dispense dividends regularly, accounting for cash in portfolios too.  In calculating index returns, … Continue reading Intricacies in Running an ETF