SSgA Eyes Hedge Fund And Commodities ETFs

November 11, 2009

Related ETFs

Ticker Fund name
QAIIQ Hedge Multi-Strategy Tracker
Related ETF Lists
Alternatives ETFs


State Street Global Advisors has filed a 40-APP filing with the Securities and Exchange Commission asking for the necessary permissions to launch a hedge fund replication ETF.

The filing?an initial step in the ETF registration process that takes place prior to the writing of a prospectus?does not mean the fund will launch anytime soon. It just means SSgA is laying the groundwork to consider such a product in the future.

The fund is described in the filing as the SPDR AlphaSimplex Absolute Beta ETF. It would track a rules-based index that invests in exchange-traded funds tied to equities, government bonds, short-term interest rates, currencies and commodities. The fund would aim to “approximate the common exposures of a broad universe of hedge funds in a relatively liquid, transparent and cost efficient manner.”

The fund would be somewhat similar, in that case, to the IQ Hedge Multi-Strategy Tracker ETF (NYSEArca: QAI) from IndexIQ. QAI also aims to deliver returns similar to a broad index of hedge fund strategies, although it uses an underlying portfolio of ETFs to achieve those returns. Currently, it has $68 million in assets.


State Street

filing also lays the groundwork for the firm to launch a commodity futures fund tied to the DJ-UBS Commodity Index. If and when it launches, it would be the first SSgA ETF tied to the commodity futures markets.

The filing is available here.



Lean why bond ETFs are an essential part of a diversified portfolio with our bond ETF channel.

Learn how currency-hedged ETFs can reduce the currency risk in your portfolio.


'IBB' saw big inflows for a second-straight session on Wednesday, Sept. 30.

Inflows into 'XLV' on Wednesday, Sept. 30 paced gains for SSgA, which saw its assets grow by more than $1 billion.


By Dave Nadig

Five consequences of the proposed rules the SEC put out yesterday.

By Sumit Roy

It's never happened, but it could.

By Dave Nadig

Think twice before getting excited.

By Sumit Roy

Readers bring up some interesting questions in light of the recent plunge in a popular oil ETN.


By Denise Krisko

Managing liquid alt strategies.

By Scott Eldridge

Protecting your fixed income allocation in a volatile rate environment.

By iShares

How currency-hedged ETFs can help U.S. investors investing in international stocks.