Despite the fact that 250 new exchange traded funds are awaiting approval, 3 new ETFs in particular are eagerly awaited by some investors.
SmartMoney columnist Jonathan Hoenig writes about the new funds that specialize in metals, currencies and real estate in the article 3 New ETFs Worth Waiting For.
The ETFS Palladium Trust from ETF Securities USA will provide exposure to platinum’s sister metal. Hoenig likes Palladium because it is an industrial metal that is often closely correlated to gold and silver.
WisdomTree has proposed 16 new currency funds that will provide exposure to a variety of currencies including the high-yielding Turkish lira. The new funds will join WisdomTree’s existing currency funds WisdomTree Dreyfus Chinese Yuan Fund (CYB) and WisdomTree Dreyfus Brazilian Real Fund (BZF). Hoenig likes foreign currencies due to the size and scope of the U.S. government’s expansion plans and the potential for long-term depreciation of the U.S. dollar.
Robert Shiller’s MacroMarkets is coming to market on May 11 with Major Metro Housing Up (UMM) and Major Metro Housing Down (DMM). The funds will track 3 times the percentage change of the Case-Shiller Composite Price Index. Hoenig likes the new funds because they enable investors to hedge the investment in their own home.