Barclays Global Investors made three new additions to the iShares exchange traded fund (ETF) family this week.
- iShares S&P Global Timber & Forestry Index Fund (WOOD)
- iShares S&P Global Nuclear Energy Index Fund (NUCL)
- iShares S&P Global Clean Energy Index Fund (ICLN)
All three funds have an expense ratio of 0.48%.
WOOD will be joining the Claymore/Clear Global Timber (CUT), which tracks companies that own or manage forested land and harvest the timber for commercial use or the sale of wood-based products such as pulp, lumber and paper. It has a low correlation to the broader market, and before CUT launched, only institutional investors had access to this area.
NUCL will be joining the Market Vectors Nuclear Energy Fund (NLR) which is actually a growing energy source, as China and Russia have signed a pact for $1 billion to build out a nuclear power plant facility. If China is committed to a nuclear energy policy, then it’s worth your time to notice related ETFs. PowerShares Global Nuclear Energy Fund (PKN) is also a player in the ranks.
ICLN will join clean energy status with First Trust Nasdaq Clean Edge US Liquid Series Index Fund (QCLN). Reasons to invest in clean energy include the fighting global warming, break away from peak oil prices, improvement of local economies and possibly make money on some newer trends, such as solar or wind power. Other ETFs keeping it clean are PowerShares WilderHill Clean Energy ETF (PBW) and Market Vectors Global Alternative Energy ETF (GEX).
iShares has also launched the iShares FTSE China (HK Listed) Index Fund (FCHI), which has an expense ratio of 0.74%. The fund is most heavily allocated in financials, with 32.8% of the holdings, followed by telecommunications at 24.3% and industrials at 14.4%.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Mr. Lydon serves as an independent trustee of certain mutual funds and ETFs that are managed by Guggenheim Investments; however, any opinions or forecasts expressed herein are solely those of Mr. Lydon and not those of Guggenheim Funds, Guggenheim Investments, Guggenheim Specialized Products, LLC or any of their affiliates. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.