The close of 2009 was accompanied by the opening of fewer new mutual funds that expected, according
to John Waggoner
, USA Today
's fund expert.
Generally, fund companies launch new funds before year-end, so the offerings can have a full-year of results before the next year. However, December saw the releases of only 37 new funds, compared to 77 in December 2008.
"The annual flood of new mutual fund offerings has slowed to a trickle," Waggoner wrote Sunday.
Of those 37 funds, the majority were ETFs. (The specific number of ETFs was not mentioned.)
Nine of the December-launched ETFs invest in emerging market countries, with seven having a dedicated focus on China. This is likely to the success of emerging market ETFs in 2009, when the funds increased by 75 percent.
There were also three new bond-ETFs, five municipal bond ETFs from iShares
, and five faith-based ETFs from FaithShares
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