Guggenheim Investments [
profile] is about to leave a product niche behind.
Last month the mutual fund and ETF shop
revealed plans to shut down nine ETFs [
see the release], and now
Invest With An Edge editor Ron Rowland
reports that the closures, slated for Friday, mean that "Guggenheim is now completely ceding the [leveraged and inverse ETF] space to
ProShares and
Direxion." Guggenheim first entered the leveraged and inverse mutual fund and ETF space by buying Security Benefit, the parent of Direxion and ProShares rival
Rydex.
The nine ETFs in question — the
Guggenheim ABC High Dividend ETF, the
Guggenheim MSCI EAFE Equal Weight ETF, the
Guggenheim S&P MidCap 400 Equal Weight ETF, the
Guggenheim S&P SmallCap 600 Equal Weight ETF, the
Guggenheim Airline ETF, the
Guggenheim 2x S&P 500 ETF, the
Guggenheim Inverse 2x S&P 500 ETF, the
Wilshire 5000 Total Market ETF and the
Wilshire 4500 Completion ETF — held a mere $148 million, one percent of Guggenheim's $13.7 billion in ETF assets as of January 31.
Meanwhile, Guggenheim continues to offer Rydex-branded leveraged and index traditional (i.e. non-ETF) mutual funds. 
Edited by:
Neil Anderson, Managing Editor
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