ETF Inflows & Outflows
Performance Leaders & Laggards
Source: ETF Action; flows and performance data as of 7/25/24; performance data excludes leveraged and inverse products
Weekly ETF Reads
Spot ether ETFs are set to trade Tuesday. Here’s what it means for the Ethereum blockchain by Bob Pisani
“A lot of investors view bitcoin as digital gold, a store of value, whereas investors view Ethereum more as a technology play.”
The Bitcoin ETFs were a huge success. Can Ethereum do the same? by Tim Copeland
“It’s almost like you wouldn’t live your life constantly comparing yourself to Bill Gates’ fortune.”
Staking in Ethereum ETFs Might Be a Question of When, Not If by Helene Braun
“It’s an important part of the investment experience and being able to invest in your ether.”
Are Two Cryptos Better Than One for a 60/40 Portfolio? by Stephen Margaria
“Their newfound accessibility through ETFs has many investors eager to add one or both cryptocurrencies to their portfolios, but one must be aware of how they change the risk composition.”
Wall Street’s ETF Engine Revs Up After $17 Billion Bitcoin Haul by Vildana Hajric and Isabelle Lee
“ETFs have always been known to push the limits, so I think we will see issuers get creative with crypto filings.”
Record July ETF Flows Reflect Investor Optimism by Jeff Benjamin
“U.S. listed ETFs have added more than $104 billion in inflows so far in July, pushing 2024 totals over $500 billion, the earliest point ETFs have ever crested that mark.”
Why There’s Room for More ETF Adoption by Todd Rosenbluth
“The future for ETFs is bright.”
(Note: Todd will be joining me on next week’s ETF Prime to go in-depth on State Street’s 2024 ETF Impact Survey, which you can view here.)
100% Downside Protection ETFs: What’s the Catch? by Lan Anh Tran
“The ETFs’ transparency and lower fees are clear advantages, but they miss on one major objective of annuities: a guaranteed income stream absent from the ETFs.”
These Funds Are Like Candy for Boomers. The Taxes Aren’t. by Laura Saunders
“The time to learn about taxes on an investment is before you buy.”
Crypto market bets on solana ETF by Philip Stafford
“It cannot be approved [by March] unless there is an acceptable surveyable market for the SEC and currently there isn’t one.”
ETF Tweet of the Week
A key theme of this week’s blog is obviously spot ether ETFs, and so there was really only one option for “ETF Tweet of the Week”. It had to be spot ether ETF-related. Bitwise, one of the eight issuers who launched a spot ether ETF on Tuesday, rang the closing bell at the New York Stock Exchange on Friday. As part of the pomp and circumstance surrounding the occasion, NYSE unveiled a banner which resulted in the word “Ethereum” hanging from the iconic building’s facade. If Ethereum can fulfill its goals of ushering in a new era of decentralized finance, this picture could end up in the history books.
(Be sure to catch my in-depth conversation with Bitwise’s Chief Investment Officer on everything surrounding the launch of spot ether ETFs!)
Bitwise Ethereum ETF banner going up outside the iconic facade at the New York Stock Exchange this evening.
— Teddy Fusaro (@teddyfuse) July 25, 2024
For the fund’s prospectus & risk disclosures, visit: https://t.co/coYFoKerma pic.twitter.com/KKjkmW8hKA
ETF Chart of the Week
Sometimes, I like to get back to the basics with my “ETF Chart of the Week”. State Street reminds us of the powerful tax benefits of the ETF wrapper:
“On average, only 17% of all active ETFs paid capital gains over the past five years compared to 54% for active mutual funds. In fact, over the past five years, the percentage of active ETFs was never more than 29% while the percentage of active mutual funds reached 70%.“
Less capital gains distributions = more compounding of investment returns.
