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

Self Indexing, Direct Indexing, and Motif

With the rapid growth of passive investment, indexes, usually serving as the underlying benchmark for the creation of such funds, are gaining more attention and traction too. The indexing space is dominated primarily by three companies in the U.S. - MSCI, S&P and FTSE Russell. There are two salient issues with these dominant players. First, … Continue reading Self Indexing, Direct Indexing, and Motif

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