Below is a roundup of key developments in the ETF space during the week started Oct. 23, 2017:
Launches
USAA launched a lineup of four MSCI-linked smart-beta equity ETFs that blend value and momentum, and two actively managed aggregate-type bond funds:
- USAA MSCI USA Value Momentum Blend Index ETF (ULVM), net expense ratio of 0.20%
- USAA MSCI USA Small Cap Value Momentum Blend Index ETF (USVM), net ER 0.25%
- USAA MSCI International Value Momentum Blend Index ETF (UIVM), net ER 0.35%
- USAA MSCI Emerging Markets Value Momentum Blend Index ETF (UEVM), net ER 0.45%
- USAA Core Short-Term Bond ETF (USTB), net ER 0.35%
- USAA Core Intermediate-Term Bond ETF (UITB), net ER 0.40%
iShares launched the iShares Broad USD High Yield Corporate Bond ETF (USHY), a fund that owns roughly twice as many bonds as the iShares iBoxx $ High Yield Corporate Bond ETF (HYG) from 2.5 times as many issuers. USHY costs 0.22%.
VictoryShares, the ETF issuer known for its volatility-weighted strategies, listed on the Nasdaq the Emerging Market High Div Volatility Wtd ETF (CEY). CEY costs 0.50%.
Fee/Index Changes
Deutsche Asset Management made changes to three of its Xtrackers ETFs:
- The Xtrackers MSCI Italy Hedged Equity ETF (DBIT) changed from an MSCI to a Nasdaq index, becoming an entirely different strategy focused on Germany. DBIT is now the Xtrackers Germany Equity ETF (GRMY), and it costs 0.15%, down from 0.45% previously.
- The Xtrackers MSCI Southern Europe Hedged Equity ETF (DBSE) also got a new Nasdaq index, and became the Xtrackers Eurozone Equity ETF (EURZ). EURZ costs 0.15%, down from 0.45% previously.
- The expense ratio for the Xtrackers Japan JPX-Nikkei 400 Equity ETF (JPN) is now 0.15%, down from its previous expense ratio of 0.40%.
IndexIQ said it will cut fees on one of its most successful ETFs, the IQ Hedge Multi-Strategy Tracker ETF (QAI), by some 22%. QAI will cost 0.76%, down from 0.98%, effective Nov. 1.
Filings
InsightShares, a new brand to the ETF space, powered by UBS, put in registration two equity ETFs to be offered by white-label provider Exchange Traded Concepts that will focus on specific demographics. They are the InsightShares Military Veterans ETF and the InsightShares LGBT Employment Equality ETF. No tickers or fees were disclosed.
ALPS ETF Trust put in registration an ETF that would offer exposure to so-called disruptive technologies, the ALPS Disruptive Technologies ETF. No tickers or fees were disclosed.
For more on launches, filings and closures, visit the ETF Watch page.
Contact Cinthia Murphy at [email protected]