Goldman Sachs releases three low-cost beta ETFs, we review the largest net inflows for ETFs the market bottom, and the Fed buys $305 million of ETFs after the launch of the latest emergency lending program.
- Goldman Sachs releases three low-cost beta ETFs built around Solactive indexes as it enters the core ETF business.
- Goldman Sachs MarketBeta U.S. Equity ETF (GSUS) tracks the Solactive GBS United States Large & Mid Cap Index, holds 504 securities, and carries an expense ratio of 0.07%.
- Goldman Sachs MarketBeta Emerging Markets Equity ETF (GSEE) tracks the Solactive GBS Emerging Markets Large & Mid Cap Index and costs a net 0.36% in expense ratio.
- Goldman Sachs MarketBeta International Equity ETF (GSID) tracks the Solactive GBS Developed Markets ex-North America Large & Mid Cap Index and carries an expense ratio of 0.20%.
- A look at the top 5 ETF absolute inflows since the S&P 500 Index SPX bottom (3/23 – 5/14):
- Within the fixed income space, the iShares iBoxx USD Investment Grade Corporate Bond ETF LQD has had the most inflows with $12.1 billion and the iShares iBoxx USD High Yield Corporate Bond ETF HYG came in third on the list with $6.2 billion
- In terms of commodities, the SPDR Gold Trust GLD had the second-highest inflows over the period with $9.7 billion and the United States Oil Fund LP USO had the fifth-highest inflows with $4.4 billion.
- Fourth on the list is the Health Care Select Sector SPDR Fund XLV which has seen $4.5 billion in net inflows.
- After the Fed’s announcement on March 23rd of the Secondary Market Corporate Credit Facility (SMCCF), the program officially launched last week.
- On the launch date of May 12th, the program bought $305 million of ETFs within the U.S. corporate debt market.
- The program was designed to help cushion the impact of the coronavirus on the U.S. economy and financial markets
(Sources: etf.com, Bloomberg.com)
