ETF Edge Newsletter

Your weekly update on top ETF trends

VIEW IN BROWSER | SUBSCRIBE FRI, AUG 28, 2020 YOUR WEEKLY UPDATE ON TOP ETF TRENDS A NOTE FROM BOB Join us for ETF Edge Monday at 1 PM ET as my guests Todd Rosenbluth (CFRA), Mona Naqvi (S&P) and Jay Jacobs (Global X ETFs) discuss the hot ETF topics of the day.   ESG ETFs have attracted more than $35 billion of net inflows so far in 2020, and assets across all types of ESG funds topped $1 trillion for the first time last quarter, but is ESG (Environmental, Social, Governance) worth it? A recent Barclay's report questions whether funds specifically marketed as "ESG" offer any outperformance or sustainability benefit, compared to traditional mutual funds, InvestmentNews reports. According to the report, ESG funds typically do not score higher for the ESG credentials of their underlying holdings than standard mutual funds, but they do have higher fees. Is there evidence that emphasizing ESG can lead to better financial outcomes? Speaking of ESG….clean energy is killing it this year. The First Trust Nasdaq Clean Edge Green Energy Index Fund, the Invesco WilderHill Clean Energy ETF, ALPS Clean Energy ETF and SPDR S&P Kensho Clean Power ETF, are all up at least 40% this year.   Speaking of thematic ETFs...tech-based thematic ETFs have been hot for all the right reasons: tech and Work From Home. Global X runs many of those tech-themed ETFs, and Senior VP Jay Jacobs will be with us to discuss what's behind the rallies: Global X Thematic ETFs (YTD) Video Games/esports (HERO) up 65% Social Media (SOCL) up 45% Cloud Computing (CLOU) up 54% Lithium/Battery Tech (LIT) up 44% Fintech (FINX)  up 28% Millenials (MILN) up 25% Robotics/Artificial Intelligence (BOTZ) up 24% A SPAC ETF: you knew it was coming. We've been emphasizing the growing importance of thematic ETFs, which emphasize an idea rather than an investment space. Cybersecurity. Social Media. Solar. Cannabis. And now a SPAC ETF. SPACs (Special Purpose Acquisition Companies) are hot this year as an alternative way of raising money and going public independent from an IPO. A lot of famous people (including Gary Cohn) are utilizing this vehicle. More than $21 billion has been raised through 51 SPACs so far in 2020. Now ETF firm Defiance has announced they are launching the NextGen SPAC IPO (SPAC) that would track SPACs from the last 18 months. ETFs can get what is hard to get. While we are on the subject of IPOs...the biggest IPO in history is coming soon...to China. Ant Financial will be going public in a dual listing in Hong Kong and Shanghai, but not in the U.S. It may float as much as $30 billion, making it the biggest IPO of all time, passing Saudi Aramco. U.S. investors will have a hard time owning it, but two U.S.-based ETF will own it within days of going public: Renaissance Capital International IPO (IPOS) and Kraneshares China Internet (KWEB), both of which recently hit historic highs.   For more analysis and actionable insights, catch me live on Mondays at 1 PM ET on ETF Edge. Bob Pisani @BobPisani KEY STORIES  How much you'll have for retirement if you invest an extra $1,000 a month, starting in your 20s, 30s and beyond Investing $1,000 per month until you retire can make you a millionaire if you begin saving early. Starting younger lets you take advantage of the power of compound interest. In a market starved for yield, one ETF offers close to 9%. Here's how it works Amplify's High Income ETF (YYY) invests in closed-end funds that are trading at discounts to produce high current income, the firm's CEO says. Stock market live updates: Stocks higher, S&P's longest weekly win streak YTD, DraftKings down 5% This is CNBC's markets live blog that will be updated throughout the day.      IN CASE YOU MISSED IT Abbott Labs sends iShares U.S. Medical Devices ETF higher Volatility delayed new ETF launches: Analyst ETF Edge, August 24, 2020   Unsubscribe Manage Newsletters Terms of Service Join the CNBC Panel Digital Products Feedback Privacy Policy   © 2020 CNBC LLC. All rights reserved. A property of NBCUniversal. 900 Sylvan Avenue, Englewood Cliffs, NJ 07632 Data is a real-time snapshot *Data is delayed at least 15 minutes. Global Business and Financial News, Stock Quotes and Market Data and Analysis. Data also provided by THOMSON REUTERS