Witthaya Prasongsin / Getty Images Example: the QQQ’s which tracks the Nasdaq-100 index. Examples include the EWJ, which tracks Japan’s Nikkei Index and the EWG, which tracks the MSCI Germany Index. Example: Invesco Dynamic Pharmaceuticals ETF (PJP) Some ETFs do not comprise equities at all. Commodity ETFs are made up of derivative contracts like futures, forwards, and options. While the goal is to emulate an investment product, there are different ways to accomplish this within the construction of ETFs. ETF providers, like Barclays, have rolled out debt-based ETFs and created successful bond funds like the SPDR Capital Long Credit Bond ETF (LWC). This bond offering gives investors opportunities in the bond market while still maintaining the benefits of ETFs. Though ETNs are technically not true ETFs, people nonetheless lump them into the same category. You should conduct thorough research before you add leveraged ETFs to your portfolio.
