Anonymous ID: a76e35 April 1, 2020, 12:54 p.m. No.8651128   ๐Ÿ—„๏ธ.is ๐Ÿ”—kun   >>1224 >>1386 >>1494

ETFs Liquidate at Quickest Pace Since 2017 Amid Market Turmoil

 

A tumultuous start to 2020 saw exchange-traded funds shutter at the fastest pace in almost three years.

 

A total of 72 ETFs with $1.4 billion in assets shut down and returned their money to investors in the first quarter as the coronavirus outbreak roiled markets, according to data compiled by Bloomberg. Thatโ€™s the most since the third quarter of 2017, which saw 73 funds close. Invesco Ltd. led the liquidations, shutting a total of 42 ETFs as part of plans to consolidate the firmโ€™s offerings after it bought OppenheimerFunds Inc. in 2019. ProShares and Direxion closed several leveraged ETFs, which use derivatives to amplify returns of the securities they track.

 

The still-elevated level of volatility has slowed the pace of ETF debuts as well. Just four funds started trading in March, the lowest monthly total since August and a steep drop from the 29 ETFs that came online in February.

https://www.bloomberg.com//news/articles/2020-04-01/etfs-liquidate-at-quickest-pace-since-2017-amid-market-turmoil