SSgA Launches Sector ETFs as RBS Rolls Out Trendpilot ETN

By Ron DeLegge

February 07, 2011 at 05:28 AM

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State Street Global Advisors introduced three industry sector ETFs on January 27. The new funds track stocks in S&P health care, telecom and transportation sectors. The annual expense ratios for all three funds are 0.35 percent.

SPDR S&P Transportation ETF (XTN)

The S&P Transportation Select Industry Index is an equal-weighted index that includes 32 transportation companies with market capitalizations of at least $400 million.

SPDR S&P Telecom ETF (XTL)

The S&P Telecom Select Industry Index is an equal-weighted index that includes 27 telecom companies with market capitalizations of at least $400 million.

SPDR S&P Healthcare Equipment ETF (XHE)

S&P Healthcare Equipment Select Industry Index is an equal-weighted index that includes 30 healthcare equipment companies with market capitalizations of at least $400 million.

New Trend-ETN from RBS

RBS Securities launched the RBS US Mid Cap Trendpilot ETN (TRNM).

The note takes a strategic approach to investing in equities by being fully invested in the S&P MidCap 400 index when the market trend is up and switching to 3-Month U.S. Treasury Bills when it reverses.

Payment on the TRNM is linked to the performance of the Index, less an investor fee that is deducted daily at an annualized rate of 1.00 percent if the Index is tracking the S&P 400 TR Index or an annualized rate of 0.50 percent if the Index is tracking the T-Bill Rate.

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