Standard & Poor's Depositary Receipts

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The SPDR S&P 500 is an exchange-traded fund from State Street Global Advisors that tracks the S&P 500.[1] For a long time, the fund was the largest ETF in the world.[2] As of August 2012, it is the largest exchange-traded product in the world, and also the most actively traded.[3]

History[edit]

The Standard & Poor's Depositary Receipts were launched by Boston asset manager SSgA State Street Global Advisors on January 29, 1993 as the first exchange-traded fund in the United States (preceded by the short-lived Index Participation Shares that launched in 1989); and are part of the SPDRs ETF chain.[4][5][6] Designed and developed by American Stock Exchange executives Nathan Most and Steven Bloom,[7][8] the fund first traded on that market, but has since been listed elsewhere, including the New York Stock Exchange (NYSE ArcaSPY).

According to web glossary InvestorWords.com:

One SPDR unit is valued at approximately 1/10 of the value of the S&P 500. Dividends are distributed quarterly, and are based on the accumulated stock dividends held in trust, less any expenses of the trust.[9]

The sponsor is PDR Services LLC, a wholly owned subsidiary of American Stock Exchange LLC.

Listing[edit]

Since 2011, the fund is listed on the Tokyo Stock Exchange (1557).

Competition[edit]

SPDR S&P 500's competition is largely other funds that are also based on the S&P 500. Other funds are based on similar indexes such as iShares Russell 1000 (NYSE ArcaIWB).

A somewhat different idea is the Guggenheim S&P 500 Equal Weight (NYSE ArcaRSP),[10] which uses an equal-weight version of the S&P 500.

ETFs that are based on the S&P 500 index include:

Normal[edit]

Inverse[edit]

Leveraged 200%[edit]

Inverse leveraged 200%[edit]

Leveraged 300%[edit]

Inverse leveraged 300%[edit]

See also[edit]

References[edit]

  1. ^ What is a spider and why should I buy one? Investopedia
  2. ^ "Largest ETFs: Top 25 ETFs By Market Cap". ETFdb. Retrieved 2010-11-03. 
  3. ^ ETP Landscape Industry Highlights Black Rock
  4. ^ John C. Bogle, 'Value' Strategies, Wall Street Journal (Feb. 9, 2007).
  5. ^ Wilfred Dellva, Exchange-Traded Funds Not for Everyone, Journal of Financial Planning (Apr. 2001).
  6. ^ Jennifer Bayot (2004-12-10). "Nathan Most Is Dead at 90; Investment Fund Innovator". New York Times. Retrieved 2008-04-23. 
  7. ^ Carrel, Lawrence (2008), ETFs for the Long Run, John Wiley & Sons, 2008, ISBN 978-0-470-13894-6
  8. ^ http://ir.nasdaq.com/releasedetail.cfm?releaseid=206581
  9. ^ "SPDR". InvestorWords.com, WebFinance, Inc. Retrieved 2008-04-23. 
  10. ^ Rydex page on RSP
  11. ^ iShares page on IVV
  12. ^ Vanguard page on VOO
  13. ^ ProShares page on SH
  14. ^ ProShares page on SSO
  15. ^ Rydex page on RSU
  16. ^ ProShares page on SDS
  17. ^ Rydex page on RSW
  18. ^ ProShares page on UPRO
  19. ^ ProShares page on SPXU

External links[edit]