Forget crypto! Some ETF providers bet that this $800 billion industry in 2024 is fund investing's new frontier

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Every week we talk to the most interesting managers and highlight the most timely ETF news, from new launches to inflows and performance.

Happy Thursday, ETF Wrap readers! It is a been a roller-coaster ride on Wall Street. Stock markets were knocking on the door off a correction just last week, after being jolted lower by the new omicron variant of COVID. Now, the S&P 500 SPX, -0.19% stands within shouting distance of its Nov. 18 record close. What a ride!

It isn’t clear what happened on the FactSet data platform but the error has since been fixed but for at least a day or so, Grayscale’s wish of being an ETF became a reality. That’s so meta What started as a much-maligned name-change by Facebook Inc. FB, +0.90%, aka Meta Platforms Inc., has turned into a dash for investor cash. Bloomberg writes that ETF providers are rushing to create metaverse funds offering exposure to virtual-reality related enterprises after Zuckerberg referred to that nascent segment of internet technology as “the next frontier.”

BlackRock spreads the love The Wall Street Journal reports that asset management behemoth BlackRock BLK, +0.18% is pulling $2 trillion in ETF assets that have been custodied by State Street STT, +1.03% for more than a decade. Pestrichelli said that typical low-vol strategies involve buying a stock and purchasing a put as a hedge, or buying a put-spread as a hedge.Instead, Pestrichelli said that ZEGA Buy & Hedge ETF aims to buy call [options] and those options represent “the notional value but also embed protection,” for an investor in the ETF.

 

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