The world of exchange-traded funds has grown exponentially
since the first product, State Street's Spider, was launched in
1993. Today, there are over 800 products in the US and more
than 2,600 worldwide, conveying exposure to a plethora of
underlying investment themes, from equity indices to commodity
futures and currencies.
The first ETFs, like the Spider, typically enabled investors
to trade an entire index or portfolio of stocks in a single
action - making turning over one's portfolio as easy as selling
one stock. But over the last few years, many variations to the
basic ETF and many strategies for trading them have sprung up,
many of which involve futures and options.
Most notably, in the US, ETF options have taken off and
continue to gain momentum. About 330 ETF options are now traded
in the US, according to the Options Clearing Corp, so that they
This article is available exclusively to subscribers and trialists
Please log in to continue reading or register for access. As a Registered user you get full access to trial the site for 7 days and can continue reading Analysis, Opinion, Whitepapers and archive news after the trial has finished.
Already a user? |
Login to view the content