US financial analysts have poured scorn on plans to launch prediction market and sports contract-themed exchange-traded fund (ETF) products, likening them to stock picking.
Earlier this month, the financial firms Tidal Investments and Subversive Capital asked the Securities and Exchange Commission to approve two first-of-their-kind sports-event contract ETFs, which would be tied to the outcome.
The analysts believe that these ETFs could be risky investments, similar to individual stock picking, and have raised concerns about their potential success in the market.
