indexfundfan @ indextown

ProShares, the company famous for its long and short funds, has filed with the SEC to introduce ETFs that covers 22 different slices of the market. For each slice, ProShares is planning to introduce three “flavors”: the “Ultra, Short and Ultrashort” versions.

According to the filing, The “Ultra” version is a market long version that aims to match 200% of the benchmark. The remaining two are market short versions; “Short” aims to match 100% of the inverse of the benchmark and “Ultrashort” aims to match 200% of the inverse of the benchmark.

Taking taking into account three “flavors” for each slice, this gives a total of 66 ETFs. I expect these ETFs to be expensive, in line with the expense ratio of 0.95% that ProShares is currently charging for its funds.

It looks like as the ETF competition gets more crowded, more and more of the new ETFs do not add any value to the retail investor.

Random list of previous posts:

• January 18, 2010 -- Portfolio Return for November 2009 (0)
• January 19, 2010 -- Junk fees in AT&T landline service (0)
• December 7, 2007 -- Whole versus term life insurance discussion on Bogleheads forum (1)
• February 24, 2007 -- ETF substitutes for my portfolio (10)
• November 28, 2007 -- Liquidated half of my municipal reset bonds (6)

This entry was posted on Saturday, September 16th, 2006 at 2:39 pm and is filed under ETF, Investing. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.