iShares, PIMCO and Emerging Global Advisors intend to close more than two dozen funds mainly due to unpopularity with investors, said Robert Goldsborough, Morningstar analyst, passive strategies, in a note to clients.
iShares will close 18 ETFs including several emerging-markets-themed funds, an Asian financials ETF, a pair of real estate funds, a global nuclear energy ETF, and two broad ETFs — iShares NYSE 100 ETF NY and iShares NYSE Composite ETF NYC.
PIMCO plans to delist four ETFs: PIMCO Australia Bond Index ETF AUD; PIMCO Canada Bond Index ETF CAD; PIMCO Germany Bond Index ETF BUND; and PIMCO Build America Bond ETF BABZ.
Emerging Global Advisors intends to close its EGShares China Infrastructure ETF, as well as three investment-grade bond funds that the firm launched in early January as part of a partnership with TCW.
The closures will occur in the coming weeks.
To September 1 this year, there were 136 ETF launches and 38 delistings/closures, according to Morningstar data.
“Year to date, 38 exchange-traded products have liquidated, almost all because they had trouble gaining traction with investors and as a result had minimal asset levels,” said Goldsborough.
