ProShares Files For International, Fixed-Income ETFs
June 27, 2007
In a major new filing, ProShares has petitioned the Securities and Exchange Commission (SEC) for the right to launch twenty-five new leveraged, inverse and inverse-leveraged exchange-traded funds (ETFs), including the first-ever ProShares international and fixed-income products. The funds are designed to provide 200%, negative 100% and negative 200% exposure to the daily movement of their benchmark indexes. Like all ProShares ETFs, they change 0.95% in expenses.
Curiously, the filing only covers inverse (“Short”) and inverse-leveraged (“UltraShort”) ETFs for international and fixed-income. We can assume that leveraged (+200%) ETFs are in the works, but those haven’t hit the SEC yet.
The most highly anticipated ETFs in the new filing are the international funds, which cover four very high-profile markets:
Traders are certain to jump at the chance to gain leveraged exposure to the highly volatile markets, and each of these funds will likely gain assets quickly. To date, ProShares has had the most success with high-profile and high volatility indexes; the emerging markets and FTSE/Xinhua indexes certainly fit that bill.
ProShares' filing also includes an interesting group of fixed-income products:
Rounding things out are three sector funds:
The ProShares ETFs have been one of the fastest-growing ETF families over the past year, and this new filing is likely to extend that streak.