is planning to build on its momentum in the ETF market pairing with Ziegler Capital Management
to launch a fund based on its own index. The news comes on the heels of the decision by Barclays Global Investors to move 19 of its ETFs from the American Exchange to Archipelago's exchange. Archipelago is also in the process of a merger with the New York Stock Exchange (NYSE).
Dow Jones Newswires
reported on Archipelago's decision to launch the ETF on Monday. As would be expected, the fund will trade on Archipelago and will be based on the ArcaEx Tech 100 Index. The exchange acquired the index -- which tech stock watchers know better as the PSE Tech 100 -- in September as part of its purchase of the Pacific Exchange.
Ziegler Capital, the Milwaukee-based subsidiary of the NYSE-listed Ziegler Company, will act as the advisor to the fund and its sponsor.
While some tech stock investors closely watched the index, it has strong competition from the Nasdaq 100, which is better known with investors. Still, the index does differ from the Nasdaq offering and other tech-based ETFs in that will be the only price-weighted offering in the market.
Matthew O'Neil, senior vice president of North Track, points out that the price weighting means that the ETF will be better diversified than rival products.
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