Guide To ETF Providers
AAA
  1. Guide To ETF Providers: Introduction
  2. Guide To ETF Providers: Direxion
  3. Guide To ETF Providers: EG Shares
  4. Guide To ETF Providers: ETF Securities
  5. Guide To ETF Providers: Guggenheim
  6. Guide To ETF Providers: IndexIQ
  7. Guide To ETF Providers: Invesco PowerShares
  8. Guide To ETF Providers: iShares
  9. Guide To ETF Providers: ProShares
  10. Guide To ETF Providers: State Street Global Advisors
  11. Guide To ETF Providers: Van Eck
  12. Guide To ETF Providers: Vanguard
  13. Guide To ETF Providers: WisdomTree
  14. Guide To ETF Providers: Conclusion

Guide To ETF Providers: Introduction

Exchange traded funds (ETFs) are uniquely structured investment products that track indexes, or baskets of assets, including stocks, bonds, currencies, real estate and commodities. Because ETFs can cover a broad range of assets, they offer investors diversity from a single investment. When you purchase ETF shares, you are buying shares of a portfolio that tracks the yield and performance of its underlying asset(s). Like stocks, ETFs can be purchased on margin and sold short, and prices fluctuate throughout each trading session as shares are bought and sold on various exchanges.

On Jan. 22, 1993 20 ago, State Street Global Advisors introduced the first ETF - the SPDR S&P 500 ETF (ARCA:SPY). SPY, which generally corresponds to the price and yield performance of the S&P 500 Index, one of the most popular indexes in the world, launched with just $6.5 million in assets. Today, it has more than $123 billion in assets under management (AUM), representing about 6.4% of ETF assets worldwide. As both the oldest and largest ETF in the world, SPY opened up a new way for investors to gain access to the markets. Since SPY's historic introduction, the ETF industry has thrived and is now a trillion-dollar a year business, with thousands of ETFs available to match a wide variety of investment styles, objectives and risk tolerances.

There are now dozens of ETF providers - the firms that originate and, in many cases, manage ETFs. The providers offer various expense ratios, fund types, use of proprietary methodologies and fund structures. Certain providers specialize in specific areas of expertise. Direxion, for example, specializes in inverse and leveraged ETFs. EG Shares, on the other hand, concentrates on emerging market indexes. Other providers offer ETFs that cover every major asset class. Here we will introduce 12 of the providers that sell today's popular ETFs.

Guide To ETF Providers: Direxion

  1. Guide To ETF Providers: Introduction
  2. Guide To ETF Providers: Direxion
  3. Guide To ETF Providers: EG Shares
  4. Guide To ETF Providers: ETF Securities
  5. Guide To ETF Providers: Guggenheim
  6. Guide To ETF Providers: IndexIQ
  7. Guide To ETF Providers: Invesco PowerShares
  8. Guide To ETF Providers: iShares
  9. Guide To ETF Providers: ProShares
  10. Guide To ETF Providers: State Street Global Advisors
  11. Guide To ETF Providers: Van Eck
  12. Guide To ETF Providers: Vanguard
  13. Guide To ETF Providers: WisdomTree
  14. Guide To ETF Providers: Conclusion
RELATED TERMS
  1. Exchange-Traded Fund (ETF)

    A security that tracks an index, a commodity or a basket of assets ...
  2. Exchange-Traded Mutual Funds (ETMF)

    Investopedia explains the definition of exchange-traded mutual ...
  3. Lion economies

    A nickname given to Africa's growing economies.
  4. Factor Investing

    An investment strategy in which securities are chosen based on ...
  5. Average Cost Basis Method

    A system of calculating the cost basis on mutual fund positions ...
  6. Reverse Gold ETF

    Exchange traded funds that are designed to trade in a direction ...
RELATED FAQS
  1. What does a high turnover ratio signify for an investment fund?

    If an investment fund has a high turnover ratio, it indicates it replaces most or all of its holdings over a one-year period. ... Read Full Answer >>
  2. Does index trading increase market vulnerability?

    The rise of index trading may increase the overall vulnerability of the stock market due to increased correlations between ... Read Full Answer >>
  3. What is the difference between passive and active asset management?

    Asset management utilizes two main investment strategies that can be used to generate returns: active asset management and ... Read Full Answer >>
  4. Is there a situation in which wash trading is legal?

    Wash trading, the intentional practice of manipulating a stock's activity level to deceive other investors, is not a legal ... Read Full Answer >>
  5. Are there leveraged ETFs that follow the retail sector?

    There are many exchange-traded funds (ETFs) that track the retail sector or elements of the retail sector, and some of those ... Read Full Answer >>
  6. What are some of the most popular ETFs that track the retail sector?

    Some of the most popular exchange-traded funds (ETFs) that track the retail sector include the iShares S&P Global Consumer ... Read Full Answer >>

You May Also Like

Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!