Beginning this Wednesday, Rydex Investments will launch six leveraged exchange-traded funds that will offer magnified or inverse-magnified returns of three major indexes, the Standard & Poor’s 500 Index, S&P MidCap 400 Index and the Russell 2000 Index, The Wall Street Journal reports. The funds will trade on the American Stock Exchange.

The funds will charge 70 basis points, whereas ProFunds’ leveraged ETFs, which debuted in June 2006,  charge 95 basis points. But ProFunds Chairman and Chief Executive Officer Michael Sapir said that investors are concerned with factors other than an ETF’s management costs.

Nonetheless, as competition in the ETF industry has heated up, fees have certainly come down, with Vanguard and State Street Corp. two companies to recently slash ETF prices.

The staff of Money Management Executive ("MME") has prepared these capsule summaries based on reports published by the news sources to which they are attributed. Those news sources are not associated with MME, and have not prepared, sponsored, endorsed, or approved these summaries.

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