Money
Felix says “ETF slop” is booming as issuers chase marketable, high-fee products
The Iced Coffee Hour
Financial Expert: The MOST CONTROVERSIAL Investing Myths That Cost You Money! | Ben Felix
""I did a video earlier this year that I called the rise of ETF slop where I basically said that we're in this age now where there are hundreds of ETFs, maybe maybe even more now, being created every year for all kinds of wacky investment strategies that appeal to the biases that investors have.""
Felix argues that ETF proliferation has created incentives for issuers to launch “wacky” strategies tailored to investor biases and short-term performance narratives. He points to products such as covered-call ETFs, thematic funds and single-stock derivatives-based offerings, saying the economics work for issuers when a small number attract significant assets and fees.
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