
What will they think of next? That’s what exchange-traded fund (ETF) investors could be pondering, as the onslaught of new funds to market continues. The product glut is not the key. It is determining within that deluge of new ETFs which ones can add value to any investor’s existing list of funds.
I keep a watchlist of ETFs I refer to as my “depth chart” — a sports industry term that separates the “starting players” in my portfolio from the “bench” or “reserves” that have a good chance to take one of those slots soon. Lastly, I have the “farm system” that includes an array of different ETFs that are not being considered for inclusion in my portfolio, but that are at least on my radar.