The business has had substantial growth and there’s been tremendous demand,” Goldman says, pointing out that ETFs are now about 30% of Rydex’s total business. Rydex’s assets stand at $7 billion, an all-time high for them.
Despite the lackluster response to the 12 closing funds, the provider has seen growth in other areas. One such area is the Rydex S&P Equal Weight (NYSEArca: RSP) fund, which Goldman says has gotten increased recognition in the ETF marketplace as an alternative way to play the S&P 500.
Going forward, Goldman says that Rydex has a whole suite of new ideas, but which ones make it to market will depend on two things:
1. What their research says about what the market wants and/or needs.
2. Where Rydex believes its competitive advantage lies.
For more stories about long-short ETFs, visit our long-short ETF category.
Read the disclaimer; Tom Lydon is a board member of Rydex|SGI.