$10 Million Here…
By Journal of Indexes Staff

The wave of ETF venture-cap financing shows no signs of slowing. Just months after WisdomTree Investments landed a whopping $56 million in financing, two ETF start-ups landed significant VC deals.

The newcomer to the space is XShares, which received a $10 million commitment from Grail Partners, a VC firm focused on the asset management space. Meanwhile, ETF Securities, the group behind the single-commodity ETFs in Europe, won a $10 million investment from FT Ventures.

For those of us trapped in the day-to-day excitement of the ETF industry, the rush of VC financing reminds us of something important: The world is just starting to catch on to ETFs. VC investors are, by definition, on the cutting edge, and they're just starting to pay attention; Main Street is still way around the corner.