In severely challenged markets, we’ve seen a number changes in the exchange traded fund (ETF) business. This week, a few more shifts are being made.
Three of the Elements exchange traded notes (ETNs) announced that they’ll be taken off the New York Stock Exchange (NYSE) on April 3. Credit Suisse credited “insufficient” trading volumes for the decision. At the same time, Credit Suisse didn’t rule out letting the trio of ETNs trade over the counter.
According to Index Universe, the notes are:
- Elements MLCX Gold Index ETN (GOE)
- Elements MLCX Livestock ETN (LSO)
- Elements MLCX Precious Metals Plus Index (PMY)
One ETN will remain on the exchange: Elements Credit Suisse Global Warming (GWO).
Meanwhile, SPA Market Grader ETFs are shutting down their six funds after lack of investor interest has left them with no other choice. The last trading day will be March 25.
John Spence for MarketWatch explains that the provider has hinted at re-entering the market with their ETF strategy after the conditions improve. Any shareholders remaining in the ETFs on March 30 will receive cash at the net asset value (NAV) of their shares.
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.