Changes Coming For Some ProShares ETFs
ProShares, the largest issuer of inverse and leveraged exchange-traded funds, is making changes to some its ETFs ahead of the separation of real estate into its own sector at the end of August.
Real Estate Separation
In 2014 index providers MSCI and Standard & Poor's announced that real estate will be separated from the financial services sector, becoming the eleventh GICS sector in the process. With financial services funds preparing to drop real estate stocks, the UltraPro Financial Select Sector (ProShares Trust (NYSE: FINU)) and the UltraPro Short Financial Select Sector (ProShares Trust (NYSE: FINZ)) will start tracking the S&P Financial Select Sector Index, which excludes real estate stocks.
That change goes into effect after the close of business on September 16, 2016, according to a statement from Maryland-based ProShares.
The ProShares S&P 500 Ex-Financials ETF (NYSE: SPXN), an ETF that as its name implies excludes financial services stocks, will start tracking the S&P 500 Ex-Financials and Real Estate Index as a result of real estate becoming its own sector. However, the index constituents and SPXN’s portfolio will remain the same, according to ProShares.
Looking Toward Europe
Additionally, ProShares announced the closure of nine ETFs, which cease taking orders after the close of business on August 25.
Do you have ideas for articles/interviews you’d like to see more of on Benzinga? Please email email@example.com with your best article ideas. One person will be randomly selected to win a $20 Amazon gift card!
© 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.