Monday, December 19, 2011

Investopedia: The Best New ETFs of 2011

Although 2011 has not been a great year for the equity markets, investor jitters haven't stemmed the growing interest in ETFs. Nearly 300 new ETFs came into being this year, a pretty remarkable number considering that there are now about 1,400 ETFs in existence on U.S. exchanges. 

What were the best among these newcomers to the market? That's actually a somewhat difficult question to answer, as "best" can have many different meanings. Obviously an investor who has been waiting many years for a particular type of ETF will see its entry as a very good thing indeed. Any discussion of the best can, and arguably should, reference performance, but investors should also not overlook another significant detail - fund size. ETFs often need a certain critical mass to be viable and it seems fair to argue that a fund's assets under management is a reflection of just how well it meets a particular market need.

http://stocks.investopedia.com/stock-analysis/2011/The-Best-New-ETFs-Of-2011-BUNL-HDV-SPLV-VXUS-KBWR1216.aspx

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