NEW YORK (
) -- These days it is not enough for fund families to just come up with a novel sub-category of investment classification when launching a new exchange-traded fund. If that fund lands a memorable ticker symbol, the prospect for successfully keeping investor attention is enhanced.
To qualify for a risk-adjusted return ranking with TheStreet Ratings, a new exchange-traded fund must trade for a full year. Of the 209 unrated exchange-traded funds with less than one year of history, the following 10 ETFs have the best ticker symbols.
10. IQ Global Agribusiness Small Cap Eq ETF
began trading on Mar. 22, 2011.
The fund seeks investment results that correspond generally to the price and yield performance of its underlying index, the IQ Global Agribusiness Small Cap Index, which was created by Financial Development Holdco. The cream of the 'CROP' of tickers holds companies engaged in farming, livestock, agricultural machinery, supplies, chemicals, and biofuels. Top holdings include
9. Teucrium WTI Crude Oil Fund
began trading on Feb. 22, 2011.
The fund seeks to have the daily changes in percentage terms of the share's net asset value reflect the daily changes in percentage terms of a weighted average of the closing settlement prices for futures contracts for WTI 'CRUD', or crude oil, also known as Texas Light Sweet Crude Oil traded on the NYMEX.
8. First Trust NASDAQ CEA Smartphone
began trading on Feb. 17, 2011.
The Fund seeks investment results that correspond generally to the price and yield of NASDAQ OMX CEA Smartphone Index. The fund will normally invest at least 90% of its net assets in common stocks and depositary receipts including Smart-'FONE' Index members
Nokia Oyj ADR
7. Active Bear ETF
began trading on Jan. 26, 2011.
The fund seeks capital appreciation. The fund, to achieve its investment objective will be short selling a portfolio of liquid mid and large-cap U.S. exchange-traded funds, exchange-traded notes, and exchange-traded products. Sophisticated investors may investigate this ETF as a potential 'HDGE', or hedge, against an otherwise bullish portfolio.
6. Direxion Daily Gold Miners Bull 2X
began trading on Dec. 8, 2010.
The Bull Fund seeks daily investment results, before fees and expenses, of 200 percent of the price performance of the NYSE Arca Gold Miners Index. The fund, under normal circumstances, creates long positions by investing at least 80 percent of its net assets in the equity securities that comprise the Index. This ETF can add a 'NUGT', or nugget, to your portfolio with double leveraged exposure to
5. Direxion Daily Gold Miners Bear 2X
began trading on Dec. 8, 2010.
The fund seeks daily investment results, before fees and expenses, of 200 percent of the inverse (or opposite) of the price performance of the NYSE Arca Gold Miners Index. The fund creates short positions by investing at least 80 percent of its net assets in: futures contracts; options on securities, indices and futures. If the U.S. government fails to raise the debt ceiling, devastating our country, large holders of this ETF may see their portfolio value crumble away to 'DUST'.
4. VelocityShares Daily Inverse VIX Short Term ETN
began trading on Nov. 29, 2010.
The return on this exchange-traded note, or ETN, is linked to the inverse of the daily performance of the S&P 500 VIX Short-Term Futures¿ Index less the investor fee of 1.35%. Of course the inverse of 'VIX' would obviously be 'XIV'. No new ETN or ETF has performed better than this security with extraordinary returns ending May 31, 2011 of 60.9% over 6 months, 33.4% for 3 months, and 8.8% in one months on a lack of implied volatility in option contracts on the S&P 500.
3. PIMCO Investment Grade Corp Bond Index Fund
began trading on Sept. 20, 2010.
The fund seeks to provide a total return that closely corresponds to the total return of The BofA Merrill Lynch US Corporate IndexSM by investing at least 80% of its total assets in the component securities of the underlying index. The fund is currently 91% invested in 'CORP', or corporate, bonds of companies such as
2. Guggenheim Shipping ETF
began trading on Jun. 11, 2010.
The fund seeks investment results that correspond generally to the performance of an equity index called the Delta Global Shipping Index. Companies of this maritime shipping industry index that derive revenue from the 'SEA'-borne transport of dry bulk goods, leasing or operating tanker ships, container ships, specialty chemical ships and ships that transport liquid natural gas include
1. Teucrium Corn Fund
began trading on Jun. 8, 2010.
The fund seeks to have the daily changes in percentage terms of the Shares' net asset value reflect the daily changes in percentage terms of a weighted average of the closing settlement prices for three futures contracts for 'CORN' ("Corn Futures Contracts") that are traded on the Chicago Board of Trade.
With any new trading vehicle it is important understand the unique risks involved. As you can lose money, be sure to read the prospectus of each new security before investing.
-- Reported by Kevin Baker in Jupiter, Fla.
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Kevin Baker became the senior financial analyst for TheStreet Ratings upon the August 2006 acquisition of Weiss Ratings by TheStreet.com, covering equity and mutual fund ratings. He joined the Weiss Group in 1997 as a banking and brokerage analyst. In 1999, he created the Weiss Group's first ratings to gauge the level of risk in U.S. equities. Baker received a B.S. degree in management from Rensselaer Polytechnic Institute and an M.B.A. with a finance specialization from Nova Southeastern University.