Richard Goldman, Rydex/SGI's chief executive, explained that the closings would allow the firm to focus resources on products that have generated consumer interest. "This consolidation will enable us to position our exchange-traded product family for future growth opportunities, including new product development," he said in the statement.
Besides its leveraged and reverse ETFs, Rydex/SGI lists a bevy of funds in other categories on its Web site: 10 equal-weight funds, nine currency funds, six pure style funds and one mega cap fund. In February this year, Rydex/SGI's parent Security Benefit Corp. and Guggenheim Partners announced that a group led by Guggenheim would take a controlling interest in Security Benefit, with the deal expected to close in the third quarter.
Guggenheim, as it turns out, bought ETF producer Claymore Securities in August 2009. Claymore specializes in niche products as well as international funds, such as the $1 billion Claymore/BNY Mellon BRIC ETF (EEB). According to the National Stock Exchange, the combined Rydex/SGI and Claymore ETF assets would have been $9.4 billion as of the end of March 2010.
