1. PowerShares S&P BuyWrite Portfolio (PBP): This ETF is meant for tracking the CBOE S&P 500 BuyWrite Index, which measures the rate of return of an S&P 500 covered call strategy. This strategy consists of holding a portfolio indexed to the S&P 500, and selling a series of call options, each with an exercise price at or above the current level of the S&P 500. The downside risk is hedged and the upside is limited. Why would you use covered calls? Investopedia notes that it’s often done when an investor has a short-term neutral view on the asset, and the strategy is also known as “buy-write.” 888Options also states that this would be used when an investor feels that a fund’s market value will see little range over the lifetime of the call contract.

2. ELEMENTS S&P CTI ETN (LSC): This exchange traded note (ETN) is linked to the S&P Commodity Trends Indicator, which applies a long/short strategy to 6 commodity sectors. This index takes long, short, or flat positions in each commodity based on the exponential average of the prices over the past seven months. In March, Claymore filed with the Securities and Exchange Commission (SEC) for an ETF based on this index.

3. SPDR Barclays Capital Mortgage Backed Bond ETF (MBG): MBG invests in investment-grade mortgage bonds, holds 14 securities, tracks 1,700 components and charges an expense ratio of 0.20%. The fund tracks the Barclays Capital U.S. MBS Index, which covers investment grade, U.S. agency mortgage-backed securities.

4. iPath Optimized Currency Carry ETN (ICI): Another ETN, this strategy is a play on the carry trade. It uses objective and systematic methodologies to capture returns available by investing in high-yielding currencies with the exposure financed by borrowings in low-yielding currencies. ICI is able to invest in currencies of the G10 countries, including the U.S. dollar, Japanese yen and the Australian dollar.

5. MacroShares $100 Oil Up (UOY) and $100 Oil Down (DOY): Issued in pairs, these ETFs (which are actually trusts) allow investors exposure to either upward or downward movements in light sweet crude oil futures contracts. As oil moves up or down, a corresponding dollar amount is transferred between the trusts – for example, if oil moves up $1, then $1 is moved to the up fund and taken from the down fund. Just as their predecessors had been, UOY and DOY are paired products that track the price movements of West Texas intermediate oil. The starting price for a share is $25, representing one-quarter of the benchmark oil price. As the price rises and falls, assets are
transferred back and forth dollar-for-dollar between the Up and Down trusts. The termination trigger for the new funds is $185 a barrel.

With a growth figure of 0.0 is below even the modest estimate of 0.2. With a falling housing market, low consumer confidence and inflation out of control, the “R” word is looming.

Emily Flynn Vencat for Associated Press reports that the economists are calling for a recession, and data shows the British economy is doing worse now than it did during the second quarter.

The construction sector has been particularly hard-hit in the wake of Britain’s worst housing crash in 30 years.

• iShares MSCI United Kingdom (EWU), down 21% year-to-date
• NETS FTSE 100 (LDN), down 12.9% since April 10 inception

U.K. property stocks have fallen by more than half since Britain introduced real estate investment trusts (REITs) in January 2007. A glut of empty space in London could lead to a property recession, reports Peter Woodifield for Bloomberg.

Prices for offices in London have dropped 25% since last August and rents are declining for the first time in four years. Developers have been working on 160 trading floors of office space, with around 120 more due to be finished in 2010 – the worst timing possible.

• iShares S&P World ex-US Property Index Fund (WPS): down 25.5% year-to-date; 10.2% in the United Kingdom
• SPDR Dow Jones Wilshire International Real Estate (RWX): down 22.4% year-to-date; 13.4% in the United Kingdom
• iShares FTSE EPRA/NAREIT Global Real Estate ex-US Index Fund (IFGL): down 25.8% year-to-date; 11.2% in the United Kingdom
• iShares FTSE EPRA/NAREIT Europe Index Fund (IFEU): down 15.9% year-to-date; 36.6% in the United Kingdom

The Belfast region of Ireland is especially hurting from the recent credit crunch, and the economic growth rate has slowed to an estimated 1%. Last year, the province was expecting an economic revival of sorts, as the Catholics and Protestants declared peace, reports Colm Heatley for Bloomberg.

United Kingdom home prices fell as July consumer confidence fell to an all-time low as the country borders on a recession, says Brian Swint for Bloomberg. Average home values dropped 8.1% from the previous year. Falling retail sales, dropping home values, high food prices and credit tightening are weighing on the economy and real estate ETFs.

ETFs that are feeling the pain:

• iShares S&P World ex-US Property Index Fund (WPS): down 20.6% year-to-date; 10.2% in the United Kingdom
• SPDR Dow Jones Wilshire International Real Estate (RWX): down 16.4% year-to-date; 13.4% in the United Kingdom
• iShares FTSE EPRA/NAREIT Global Real Estate ex-US Index Fund (IFGL): down 20.5% year-to-date; 11.2% in the United Kingdom
• iShares FTSE EPRA/NAREIT Europe Index Fund (IFEU): down 13.5% year-to-date; 36.6% in the United Kingdom