This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Five ETFs That Don't Cut It

Not all ETFs are created equal, and some ideas are outright dumb. While an ETF might look good on paper, the fund's success is the result of a number of factors. Invent the greatest product of all time? It won't matter much if no one wants to buy it.

The ETF market has expanded dramatically in the last few years, and while some ideas have caught on, others have floundered or even shut their doors. Whether it is lack of investor interest, bad design or plain redundancy, these ETFs do not make the grade.

No. 1. PowerShares NXQ Portfolio (PNXQ). Think that most ETF names are painfully descriptive? Here's one that will keep you on your toes. PNXQ tracks the Nasdaq Q-50 Index that is designed to track the performance of the 50 securities that are "next in line" to replace the securities currently included in the Nasdaq 100.

This ETF gives investors exposure to stocks on the verge, but this fund is on the verge of flat-lining. The three-month average daily trading volume of this fund is just 1,200 shares.

Investors just don't seem to like next-in-line investments, and because of natural reshuffling, shareholders never know what they're going to get. PNXQ gives investors exposure to whatever happens to be next, which could dramatically change over time.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
GWO $0.00 0.00%
GULF $20.75 0.00%
PBW $5.91 0.00%
AAPL $130.28 0.00%
FB $81.53 0.00%


DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs