Vince Stanzione, a high-profile private investor, says that investing in Italy offers investors an excellent bet. Italy’s major stock market index, the MIB, is back down to near 2009 levels and down 13% so far this year. “Investors can use an ETF to track its performance,” says Stanzione. He agrees that this is a controversial contrarian trade and only advises using a small amount of risk capital, but “investing in Italy at these depressed levels could yield a 30% plus profit by year-end,” reckons Stanzione

Earlier this week, French banking giant BNP Paribas entered the US ETF arena with the launch of the STREAM S&P Dynamic Roll Global Commodities ETF (BNPC) on the NYSE Arca. Managed by the BNP Paribas Quantitative Strategies team and launched under the ‘STREAM ETFs’ brand, BNPC is designed to reflect the return of an investment in a world production-weighted portfolio of commodities and offers investors a convenient and efficient way to gain exposure to commodities.

US-listed ETFs achieved $2.2 billion in net inflows in May, according to analysis from investment data provider Morningstar. Once again, Vanguard recorded the largest ETF inflows, collecting $3.24 billion in net new assets in May and topping the chart for the second consecutive month. Vanguard’s focus on low-costs and core-holding funds has helped the index specialist add over $24 billion in ETF AUM so far this year.

The AlphaClone Alternative Alpha ETF (ALFA) began trading on the NYSE last week, becoming the first ETF – just pipping the Global X Top Guru Holdings Index ETF (GURU) – to invest specifically in disclosed equity positions held by established hedge fund managers. The new ETF, which is based on the AlphaClone Hedge Fund Long/Short Index, seeks to capture alpha from select hedge fund managers’ long positions while protecting against protracted market downturns.

Vanguard Chairman and CEO Bill McNabb outlined four broad trends that will shape the future of the global fund industry in a speech to financial advisers at a Morningstar conference. McNabb said that changes in regulatory schemes, advisory fee structures and advice models, along with the growing demand for low-cost ETFs, are the “four forces” that will transform the investment industry in the years to come.

S&P Indices has announced the launch of the S&P Enhanced Yield North American Preferred Index. The index, which tracks 50 of the highest yielding preferred stocks listed on North American exchanges, has been licensed to Global X Funds to serve as the basis for a planned ETF. Preferred stocks combine the characteristics of debt and common stocks, with low correlations to both. While their expected volatility and returns fall between those of common stocks and bonds, their yields are typically higher.

Worries about the eurozone continue to accelerate, driven by uncertainty surrounding the financial health of Greece, Portugal, Italy, and now Spain. As volatility seems set to return to mid-crisis levels, Fran Rodilosso, international high-yield corporate bond portfolio manager at Market Vectors ETFs, sees key differences between what is taking place today and what the markets saw in 2008.

Direxion, a US-based provider of alternative ETFs, has announced changes to the benchmark indices of eight leveraged and inverse ETFs. The eight ETFs, which are currently benchmarked against Russell indices, will switch to indices managed by S&P. The switch marks an impressive win for S&P Indices, who are already enjoying a sharp rise in licensing activity thanks to the boom in ETFs.

Global X Funds, a New York-based ETF provider, has launched the Global X Top Guru Holdings Index ETF (GURU), a fund which provides investors with exposure to some of the stocks most commonly held by major hedge funds. The NYSE-listed fund allows ordinary investors to tap into the combined expertise of some of the largest hedge fund managers, without the customary detractions of hedge fund investing – namely high expenses, liquidity restrictions and minimum investments.