HealthShares, the exchange traded fund (ETF) family of XShares investment company isn’t feeling up to par these days.
Today, the company’s Board of Directors announced they are liquidating the company’s four underlying investment portfolios as of Dec. 31, 2008. Current market conditions, low market interest, and not so hot growth prospects in the near future gave the ETFs a less than healthy prognosis, and ultimately led to the decision to liquidate.
Back in August, revitalization efforts were made by HealthShares, as they streamlined their 15-fund family down to four. This attempt was not enough to save the inevitable “goodbye” to the NYSE Arca:
- HealthShares Cancer (HHK)
- HealthShares European Drugs (HRJ)
- HealthShares Diagnostics (HHD)
- HealthShares Enabling Technologies (HHV)
Eric Rosenbaum for Index Uiverse also reminds us that HealthShares also recently closed their family of real estate funds, Adelante Shares.
These ETF closings are not the end, however, as XShares is ready to come back into the market in 2009 with new ETF products related to the evironment and infrastructure.
Dec. 23 will be the last day of trading for the HealthShares, and the last day on which creation unit aggregations of the Shares may be purchased or redeemed.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. 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.