Odds & Ends: BlackRock Adds Floating Rate ETF
There were also five closures and a baker’s dozen of expense ratio changes.
This week saw nine exchange-traded funds make their debut on U.S. exchanges, including a new fund from BlackRock that launched Thursday.
The actively managed BlackRock Floating Rate Loan ETF (BRLN) invests in a variety of floating rate loans or similar instruments, including senior floating rate loans and second-lien floating rate loans. “Second lien” refers to debt that gets repaid after the senior debt is paid off.
The fund has no limits on the type of credit quality it can gain exposure to and can invest in securities of any duration or maturity, as well as debt issued by non-U.S. issuers, according to the prospectus.
BRLN comes with an expense ratio of 0.55% and lists on Cboe Global Markets.
On Wednesday, Global X rolled out the Global X Russell 2000 Covered Call & Growth ETF (RYLG), which tracks the Cboe Russell 2000 Half BuyWrite Index. The underlying index represents a strategy that holds a portfolio of the components of the Russell 2000 Index while writing one-month, at-the-money covered call options on the index that represent roughly half of the value of the stock holdings.
The fund document notes that by limiting the options holdings to half of the value of the stocks rather than 100% of the value, the index provides more exposure to any growth demonstrated by the stock portfolio.
RYLG comes with an expense ratio of 0.60% and lists on the NYSE Arca.
Also on Wednesday, Paralel Advisors entered the ETF market with the SRH U.S. Quality ETF (SRHQ), a passively managed fund tracking an index of U.S. equities selected based on value, growth and quality characteristics.
SRHQ has an expense ratio of 0.35% and lists on the NYSE Arca.
Closures
Four ETFs saw their last day of trading during the week, while another closure was announced.
The Amplify Cleaner Living ETF (DTOX) and the Amplify Pure Junior Gold Miners ETF (JGLD) both shuttered after the close of trading on Oct. 3. And Oct. 7, is the last day of trading for the WBI BullBear Global Income ETF (WBII) and the WBI BullBear Trend Switch US 3000 Total Return ETF (WBIT).
Finally, the iShares iBonds Dec 2022 Term Muni Bond ETF (IBMK), will see its last day of trading on Dec. 1.
Expense Ratio Changes
A baker’s dozen of ETFs also underwent expense ratio changes within the last week and a half. Those are as outlined below.
On Sept. 28, three FormulaFolios ETFs experienced expense ratio reductions, while one experienced an increase:
- The expense ratio for the FormulaFolios Hedged Growth ETF (FFHG) decreased from 1.14% to 1.13%.
- The expense ratio for the FormulaFolios Smart Growth ETF (FFSG) decreased from 0.71% to 0.69%.
- The expense ratio for the FormulaFolios Tactical Growth ETF (FFTG) decreased from 1.05% to 0.95%.
- The expense ratio for the FormulaFolios Tactical Income ETF (FFTI) increased from 0.93% to 0.96%.
On Sept. 30, the expense ratio for the AltShares Merger Arbitrage ETF (ARB) increased from 0.67% to 0.76%, while the expense ratio for the AltShares Event-Driven ETF (EVNT) increased from 1.30% to 1.53%.
Finally, on Oct. 3, seven ETFs saw expense ratio changes:
- The expense ratio for the AI Quality Growth ETF (AQGX) decreased from 0.97% to 0.96%.
- The expense ratio for the Adaptive High Income ETF (AHHX) decreased from 0.92% to 0.68%.
- The expense ratio for the Adaptive Alpha Opportunities ETF (AGOX) decreased from 1.69% to 1.63%.
- The expense ratio for the RH Tactical Outlook ETF (RHTX) increased from 1.37% to 1.39%.
- The expense ratio for the RH Hedged Multi-Asset Income ETF (AMAX) increased from 0.96% to 1.13%.
- The expense ratio for the RH Tactical Rotation ETF (RHRX) decreased from 1.44% to 1.34%.
- The expense ratio for The Future Fund Active ETF (FFND) decreased from 1.01% to 1.00%.
Also on Oct. 3, the First Trust FTSE EPRA/NAREIT Developed Markets Real Estate Index Fund (FFR) changed its name to the First Trust Alerian Disruptive Technology Real Estate ETF, its ticker to DTRE and its index from the FTSE EPRA/NAREIT Developed Markets Real Estate Index to the Alerian Disruptive Technology Real Estate Index.
Contact Heather Bell at [email protected]
