SPDR SSgA Income Allocation ETF (ARCA: INKM)

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SPDR SSgA Income Allocation ETF

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To achieve objective it primarily invests the assets of the Fund among exchange traded products that provide exposure to five primary asset classes domestic and international equity securities; domestic and international investment-grade and high yield debt securities commonly known as junk bonds; hybrid equity/debt securities such as preferred stock and convertible securities; first lien senior secured floating rate bank loans, commonly referred to as Senior Loans; and real estate investment trusts, including equity REITs and mortgage REITs.

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Amid the yield hunt brought on by the Federal Reserve's near-zero interest rate and loose monetary policies, multi-asset income ETFs have soared in popularity and number of available funds.

	The First Trust International Multi-Asset Diversified Income Index Fund (NASDAQ: YDIV), which debuted Friday, is the newest member of the group.

	YDIV is the international answer to the First Trust Multi-Asset Diversified Income Index Fund (NASDAQ: <a class="ticker" href="/stock/mdiv#NASDAQ">MDIV</a>). MDIV is just over a year old and has $486.1 million in assets under management. YDIV is linked to the NASDAQ International Multi-Asset Diversified Income Index.

	"The Fund provides international exposure to a diversified mix of asset classes in a single investment portfolio that 
	has built-in volatility screens. Yield is the main driver behind the index; however, within each asset class a maximum volatility cap is used that seeks to limit securities that have high yields strictly due to poor price performance. The portfolio is further diversified within each asset class. As a result, the Fund provides the potential for a lower-risk total return alternative to investing solely in one asset class, <a href="http://www.ftportfolios.com/LoadContent/ga3dec3iga">said First Trust in a statement</a>.

	Related: <a href="http://www.benzinga.com/markets/bonds/13/04/3533981/under-the-hood-an-unheralded-multi-asset-etf">Under The Hood: An Heralded Mutli-Asset ETF</a>.

	MDIV invests in common stocks and/or depositary receipts (25%), real estate investment trusts (“REITs”) (20%), preferred securities (20%), master limited partnerships (“MLPs”) (20%) and an exchange-traded fund (15%), <a href="http://www.ftportfolios.com/Retail/Etf/EtfSummary.aspx?Ticker=MDIV">according to Illinois-based First Trust</a>.

	YDIV will also invest in dividend stocks, non-U.S. infrastructure firms and a non-U.S. junk bond ETF. Dividend equities represent 25 percent of the index while REITs, infrastructure companies and preferred stocks each have allocations of 20 percent with a high-yield bond ETF <a href="http://etfdailynews.com/2013/08/22/first-trust-to-begin-trading-the-first-trust-international-multi-asset-diversified-income-index-fund-nasdaqydiv/2/">getting a weight of 15 percent</a>.

	"The Fund will seek to deliver a relatively high level of income for investors, while also providing diversification benefits to traditional fixed income portfolios," said Ryan Issakainen, Senior Vice President and ETF Strategist at First Trust, in the statement. "This diversified approach, with built-in rebalancing, may also help income-seeking investors maintain discipline during periods of volatility."

	MDIV, the domestic multi-asset product, has a 30-day SEC yield of 6.48 percent. Other <a href="http://www.benzinga.com/markets/bonds/12/08/2865979/3-multi-asset-etfs-worth-considering">popular multi-asset income ETFs</a> include the Guggenheim Multi-Asset Income ETF (NYSE: <a class="ticker" href="/stock/cvy#NYSE">CVY</a>), the iShares Morningstar Multi-Asset Income ETF (NYSE: <a class="ticker" href="/stock/iyld#NYSE">IYLD</a>) and the SPDR SSgA Income Allocation ETF (NYSE: <a class="ticker" href="/stock/inkm#NYSE">INKM</a>).

	For more on ETFs, click <a href="http://www.benzinga.com/etfs">here</a>.

	Disclosure: Author is long MDIV.

First Trust, the tenth-largest U.S. ETF issuer by assets, will introduce two new ETFs today. The First Trust NASDAQ Technology Dividend Index Fund (NASDAQ: TDIV) will track the NASDAQ Technology Dividend Index.

Highlighting the case for tech dividends, First Trust cited a report from Moody's Investors Service. "Moody's projects the tech sector will pay out $26 billion in dividends in 2012. That is an increase of 14.3% from 2011 and higher than the 10.9% average annual growth of the prior four years," <a href="http://www.ftportfolios.com/LoadContent/goadqp31ge">according to First Trust</a>.

To be included in the index, companies must have a minimum market cap of $500 million and an average daily trading volume in dollar terms of $1 million over the past three months. Tech names account for 80 percent of the index while telecommunications stocks comprise the remainder. TDIV will charge an annual expense ratio of 0.5 percent. 

The new ETF enters an arena loaded with competition including the the PowerShares QQQ (NASDAQ: <a class="ticker" href="/stock/qqq#NASDAQ">QQQ</a>), the Technology Select Sector SPDR (NYSE: <a class="ticker" href="/stock/xlk#NYSE">XLK</a>) and the iShares Dow Jones US Technology Index Fund (NYSE: <a class="ticker" href="/stock/iyw#NYSE">IYW</a>), just to name a few.

The Multi-Asset Diversified Income Index Fund (NASDAQ: MDIV) is the firm's other new introduction. That fund will track the Multi-Asset Diversified Income Index and charge an annual expense ratio of 0.68 percent. MDIV will allocate 25 percent of its portfolio to common dividend-paying stocks, 20 percent to REITs, 20 percent to MLPs, 20 percent to preferred stocks and 15 percent to high-yield corporate debt. 

The index methodology includes volatility screens designed to limit securities that have high yields strictly because of poor price performance and the fund may provide less interest rate sensitivity than traditional fixed income securities due to income being generated from multiple sources, <a href="http://www.ftportfolios.com/LoadContent/goadqp31gr">according to First Trust</a>.

MDIV faces competition from established muti-asset ETFs such as the Global X SuperDividend ETF (NYSE: <a class="ticker" href="/stock/sdiv#NYSE">SDIV</a>), the Guggenheim Multi-Asset Income ETF (NYSE: <a class="ticker" href="/stock/cvy#NYSE">CVY</a>), the SPDR SSgA Income Allocation ETF (NYSE: <a class="ticker" href="/stock/inkm#NYSE">INKM</a>) and the Arrow Dow Jones Global Yield ETF (NYSE: <a class="ticker" href="/stock/gyld#NYSE">GYLD</a>) to name a few.

Illinois-based First Trust had 70 ETFs with $7.46 billion in assets under management at the end of July, according to data from the ETF Industry Association.

Actively managed ETFs still account for a percentage of overall exchange-traded products assets and the actively managed space is <a href="http://www.benzinga.com/markets/bonds/12/07/2762276/beating-bond-some-bond-funds-trumping-pimco-juggernaut">dominated by just a handful of funds</a>. However, the number of new entrants to the arena continues to expand, giving investors ample opportunity to consider the merits of active management.

Some actively managed ETFs are worth a look for income investors while others provide <a href="http://www.benzinga.com/markets/bonds/12/05/2628534/4-etf-fund-of-funds-to-consider">unique fund of funds exposure</a> allowing investors to gain access to multiple ETFs under one umbrella. Some new actively managed ETFs do both of those things.

One such example is the SPDR SSgA Income Allocation ETF (NYSE: <a class="ticker" href="/stock/inkm#NYSE">INKM</a>), which debuted in late April and has thus far accumulated almost $8.9 million in assets under management. 

INKM is home to just 18 holdings, 17 of which are other SPDR funds. That roster is dominated by some funds ETF investors are no doubt familiar with, including the SDPR S&amp;P Dividend ETF (NYSE: <a class="ticker" href="/stock/sdy#NYSE">SDY</a>), the PDR Barclays Capital Long Corporate Term Bond ETF (NYSE: <a class="ticker" href="/stock/lwc#NYSE">LWC</a>) and the and the SPDR Barclays Capital High Yield Bond ETF (NYSE: <a class="ticker" href="/stock/jnk#NYSE">JNK</a>). That trio constitutes for over 40 percent of INKM's weight.

Other familiar funds found in INKM's lineup include the SPDR S&amp;P International Dividend ETF (NYSE: <a class="ticker" href="/stock/dwx#NYSE">DWX</a>), the SPDR Wells Fargo Preferred Stock ETF (NYSE: <a class="ticker" href="/stock/psk#NYSE">PSK</a>) and the SPDR S&amp;P Emerging Markets Dividend ETF (NYSE: <a class="ticker" href="/stock/ediv#NYSE">EDIV</a>).

Overall, INKM provides exposure to five asset classes. Equities lead the charge at over 43 percent of the fund's weight while high-grade corporate bonds command an allocation of almost 32 percent. International real estate plays, high-yield bonds and hybrid securities such as preferred stocks account for the rest of INKM's lineup.

That composition speaks to INKM's income-generating potential and the ETF does not disappoint on that front with a 30-day SEC yield of 4.3 percent. Beyond that, most of INKM's holdings, particularly the ones at the top, are heavily traded. That gives the lightly traded ETF sufficient liquidity despite an average daily volume figure that might turn some investors off (just 4,800 shares).

Another advantage regarding INKM that highlights the advantages of active management is that the fund managers can shift to lower-risk securities during times of elevated market volatility. There is a downside, and it highlights an issue facing many actively managed ETFs: Cost.

INKM charges 0.7 percent per year. That is not terrible among actively managed ETFs, but that is a high expense ratio in the overall ETF universe. In fact, owning SDY, LWC and JNK individually would only cost a combined 90 basis points per year, which cements the notion that there is price to pay when dealing with actively managed ETFs.

Remember, some of INKM's fees will eat away at the fund's yield. On the other hand, with investors searching far and wide for yield, some might be willing to pay up for INKM, particularly if the fund can justify its high fees with even higher performance.

For more on income ETFs, click <a href="http://www.benzinga.com/markets/bonds/12/05/2628534/4-etf-fund-of-funds-to-consider">here</a>.

So many exchange-traded products, so little time. With the number of ETFs and ETNs in the U.S. fast approaching 1,500, investors have a dizzying array of options, so it's not surprising that some indecision may creep into the selection process. 

For the indecisive among us, or for those that like the idea of owning multiple ETFs under one umbrella, an ETF fund of funds could prove to be a shrewd move. Also known as "multi-management," the fund of funds concept allows investors to have exposure to multiple asset classes under the tent of one fund. 

While this concept has proven desirable over time, many firms that sponsor ETF fund of funds don't actually advertise them as such, leaving investors to do some of the digging on their own. A good place to start is with <a href="http://www.benzinga.com/markets/bonds/12/04/2504891/4-asset-allocation-etfs-your-broker-forgot-to-mention-perm-pca">asset allocation ETFs, many of which are comprised of multiple ETFs</a>. With that, let's have a look at some of the more intriguing ETF fund of funds options on the market today.

iShares Morningstar Multi-Asset Income Index Fund (NYSE: <a class="ticker" href="/stock/iyld#NYSE">IYLD</a>)
Not even two months old, the iShares Morningstar Multi-Asset Income Index Fund is the epitome of an ETF fund of funds. The ETF features a small allocation to cash, but its other nine holdings are all other iShares products. 

The roster includes familiar funds such as the iShares iBoxx $ High Yield Corporate Bond Fund (NYSE: <a class="ticker" href="/stock/hyg#NYSE">HYG</a>), the iShares Barclays 20+ Year Treasury Bond ETF (NYSE: <a class="ticker" href="/stock/tlt#NYSE">TLT</a>), the iShares S&amp;P U.S. Preferred Stock Index Fund (NYSE: <a class="ticker" href="/stock/pff#NYSE">PFF</a>) and the iShares Dow Jones Select Dividend Index Fund (NYSE: <a class="ticker" href="/stock/dvy#NYSE">DVY</a>). That quartet represents approximately 55% of IYLD's weight. 

IYLD has risen slightly since its early April debut and has raked in $22.8 million in assets under management. Income investors should note this fund will pay a monthly dividend.

SPDR SSgA Income Allocation ETF (NYSE: <a class="ticker" href="/stock/inkm#NYSE">INKM</a>)
Another new entrant to the ETF game, the SPDR SSgA Income Allocation ETF is one of State Street Global Advisor's new actively managed products and it should be noted that the actively managed space is another area where investors can find multiple ETF fund of funds.

Just over a month old, INKM is home to 18 holdings, 17 of which are other SPDR funds. As is the case with IYLD, the roster is chock full of ETFs many investors are already familiar with. The SPDR S&amp;P Dividend ETF (NYSE: <a class="ticker" href="/stock/sdy#NYSE">SDY</a>), SPDR Barclays Capital Long CorpTerm Bond ETF (NYSE: <a class="ticker" href="/stock/lwc#NYSE">LWC</a>) and the SPDR Barclays Capital High Yield Bond ETF (NYSE: <a class="ticker" href="/stock/jnk#NYSE">JNK</a>) account for over 43% of INKM's weight. 

Russell Equity ETF (NYSE: <a class="ticker" href="/stock/onef#NYSE">ONEF</a>)
One of the pioneers of the ETF fund of funds concept, the Russell Equity ETF is also one of the more unique and unbiased plays in this space. That is to say, ONEF is not loaded with other Russell funds. ONEF is home to 10 other ETFs, but only one, the Russell 1000 Low Volatility ETF (NYSE: <a class="ticker" href="/stock/lvol#NYSE">LVOL</a>), is a Russell fund. The other nine holdings are comprised of five Vanguard and four iShares funds with the iShares Russell 1000 Index Fund (NYSE: <a class="ticker" href="/stock/iwb#NYSE">IWB</a>) commanding over 47% of ONEF's weight. The Vanguard MSCI EAFE ETF (NYSE: <a class="ticker" href="/stock/vea#NYSE">VEA</a>) receives an allocation of over 19%.

With an expense ratio of 0.51%, ONEF is cheaper than the iShares and SPDR offerings highlighted above.

AdvisorShares Accuvest Global Opportunities ETF (NYSE: <a class="ticker" href="/stock/accu#NYSE">ACCU</a>)
Want an actively managed ETF fund of funds heavy on emerging markets? There's an ETF for that and that ETF is the AdvisorShares Accuvest Global Opportunities ETF. ACCU isn't 100% allocated to emerging markets ETFs as the iShares S&amp;P 500 Index Fund (NYSE: <a class="ticker" href="/stock/ivv#NYSE">IVV</a>) currently accounts for 13.5% of the fund's weight.

ACCU's other five ETF holdings are sure to conjure up mixed emotions among emerging markets investors. The iShares FTSE China 25 Index Fund (NYSE: <a class="ticker" href="/stock/fxi#NYSE">FXI</a>) receives a weight of almost 20% and that's fine on the basis of potential Chinese economic stimulus and on the premise that investors will embrace Chinese stocks at some point because they're cheap. We also like an almost 23% allocation, the ETF's largest, to the iShares MSCI Thailand Investable Market Index Fund (NYSE: <a class="ticker" href="/stock/thd#NYSE">THD</a>). 

What's holding ACCU back is a combined weight in excess of 26% to the iShares MSCI Brazil Index Fund (NYSE: <a class="ticker" href="/stock/ewz#NYSE">EWZ</a>) and the iShares MSCI South Africa Index Fund (NYSE: <a class="ticker" href="/stock/eza#NYSE">EZA</a>), two emerging markets that have been punishing investors recently. The iShares MSCI South Korea Index Fund (NYSE: <a class="ticker" href="/stock/ewy#NYSE">EWY</a>) is ACCU's other holding.

For more on asset allocation ETFs, please click <a href="http://www.benzinga.com/markets/bonds/12/04/2504891/4-asset-allocation-etfs-your-broker-forgot-to-mention-perm-pca">HERE</a>.

ACCU

iShares Dow Jones Select Dividend Index Fund

LVOL

ONEF

iShares S&P US Preferred Stock Index Fund

iShares MSCI Thailand Investable Market Index Fund

iShares Trust Barclays 20+ Year Treasury Bond Fund

4 ETF Fund of Funds to Consider 

SPDR SSGA Income Allocation ETF declares quarterly distribution of $0.2472

SPDR SSGA Income Allocation ETF declares quarterly distribution of $0.4333

SPDR SSGA Income Allocation ETF declares quarterly distribution of $0.3282

Amid the yield hunt brought on by the Federal Reserve&#39;s near-zero interest rate and loose monetary policies, multi-asset income ETFs have soared in popularity and number of available funds.

	The First Trust International Multi-Asset Diversified Income Index Fund (NASDAQ: YDIV), which debuted Friday, is the newest member of the group.

	YDIV is the international answer to the First Trust Multi-Asset Diversified Income Index Fund (NASDAQ: <a class="ticker" href="/stock/mdiv#NASDAQ">MDIV</a>). MDIV is just over a year old and has $486.1 million in assets under management. YDIV is linked to the NASDAQ International Multi-Asset Diversified Income Index.

	&quot;The Fund provides international exposure to a diversified mix of asset classes in a single investment portfolio that 
	has built-in volatility screens. Yield is the main driver behind the index; however, within each asset class a maximum volatility cap is used that seeks to limit securities that have high yields strictly due to poor price performance. The portfolio is further diversified within each asset class. As a result, the Fund provides the potential for a lower-risk total return alternative to investing solely in one asset class, <a href="http://www.ftportfolios.com/LoadContent/ga3dec3iga">said First Trust in a statement</a>.

	Related: <a href="http://www.benzinga.com/markets/bonds/13/04/3533981/under-the-hood-an-unheralded-multi-asset-etf">Under The Hood: An Heralded Mutli-Asset ETF</a>.

	MDIV invests in common stocks and/or depositary receipts (25%), real estate investment trusts (&ldquo;REITs&rdquo;) (20%), preferred securities (20%), master limited partnerships (&ldquo;MLPs&rdquo;) (20%) and an exchange-traded fund (15%), <a href="http://www.ftportfolios.com/Retail/Etf/EtfSummary.aspx?Ticker=MDIV">according to Illinois-based First Trust</a>.

	YDIV will also invest in dividend stocks, non-U.S. infrastructure firms and a non-U.S. junk bond ETF. Dividend equities represent 25 percent of the index while REITs, infrastructure companies and preferred stocks each have allocations of 20 percent with a high-yield bond ETF <a href="http://etfdailynews.com/2013/08/22/first-trust-to-begin-trading-the-first-trust-international-multi-asset-diversified-income-index-fund-nasdaqydiv/2/">getting a weight of 15 percent</a>.

	&quot;The Fund will seek to deliver a relatively high level of income for investors, while also providing diversification benefits to traditional fixed income portfolios,&quot; said Ryan Issakainen, Senior Vice President and ETF Strategist at First Trust, in the statement. &quot;This diversified approach, with built-in rebalancing, may also help income-seeking investors maintain discipline during periods of volatility.&quot;

	MDIV, the domestic multi-asset product, has a 30-day SEC yield of 6.48 percent. Other <a href="http://www.benzinga.com/markets/bonds/12/08/2865979/3-multi-asset-etfs-worth-considering">popular multi-asset income ETFs</a> include the Guggenheim Multi-Asset Income ETF (NYSE: <a class="ticker" href="/stock/cvy#NYSE">CVY</a>), the iShares Morningstar Multi-Asset Income ETF (NYSE: <a class="ticker" href="/stock/iyld#NYSE">IYLD</a>) and the SPDR SSgA Income Allocation ETF (NYSE: <a class="ticker" href="/stock/inkm#NYSE">INKM</a>).

	For more on ETFs, click <a href="http://www.benzinga.com/etfs">here</a>.

	Disclosure: Author is long MDIV.

First Trust, the tenth-largest U.S. ETF issuer by assets, will introduce two new ETFs today. The First Trust NASDAQ Technology Dividend Index Fund (NASDAQ: TDIV) will track the NASDAQ Technology Dividend Index.

Highlighting the case for tech dividends, First Trust cited a report from Moody's Investors Service. "Moody's projects the tech sector will pay out $26 billion in dividends in 2012. That is an increase of 14.3% from 2011 and higher than the 10.9% average annual growth of the prior four years," <a href="http://www.ftportfolios.com/LoadContent/goadqp31ge">according to First Trust</a>.

To be included in the index, companies must have a minimum market cap of $500 million and an average daily trading volume in dollar terms of $1 million over the past three months. Tech names account for 80 percent of the index while telecommunications stocks comprise the remainder. TDIV will charge an annual expense ratio of 0.5 percent. 

The new ETF enters an arena loaded with competition including the the PowerShares QQQ (NASDAQ: <a class="ticker" href="/stock/qqq#NASDAQ">QQQ</a>), the Technology Select Sector SPDR (NYSE: <a class="ticker" href="/stock/xlk#NYSE">XLK</a>) and the iShares Dow Jones US Technology Index Fund (NYSE: <a class="ticker" href="/stock/iyw#NYSE">IYW</a>), just to name a few.

The Multi-Asset Diversified Income Index Fund (NASDAQ: MDIV) is the firm's other new introduction. That fund will track the Multi-Asset Diversified Income Index and charge an annual expense ratio of 0.68 percent. MDIV will allocate 25 percent of its portfolio to common dividend-paying stocks, 20 percent to REITs, 20 percent to MLPs, 20 percent to preferred stocks and 15 percent to high-yield corporate debt. 

The index methodology includes volatility screens designed to limit securities that have high yields strictly because of poor price performance and the fund may provide less interest rate sensitivity than traditional fixed income securities due to income being generated from multiple sources, <a href="http://www.ftportfolios.com/LoadContent/goadqp31gr">according to First Trust</a>.

MDIV faces competition from established muti-asset ETFs such as the Global X SuperDividend ETF (NYSE: <a class="ticker" href="/stock/sdiv#NYSE">SDIV</a>), the Guggenheim Multi-Asset Income ETF (NYSE: <a class="ticker" href="/stock/cvy#NYSE">CVY</a>), the SPDR SSgA Income Allocation ETF (NYSE: <a class="ticker" href="/stock/inkm#NYSE">INKM</a>) and the Arrow Dow Jones Global Yield ETF (NYSE: <a class="ticker" href="/stock/gyld#NYSE">GYLD</a>) to name a few.

Illinois-based First Trust had 70 ETFs with $7.46 billion in assets under management at the end of July, according to data from the ETF Industry Association.

Actively managed ETFs still account for a percentage of overall exchange-traded products assets and the actively managed space is <a href="http://www.benzinga.com/markets/bonds/12/07/2762276/beating-bond-some-bond-funds-trumping-pimco-juggernaut">dominated by just a handful of funds</a>. However, the number of new entrants to the arena continues to expand, giving investors ample opportunity to consider the merits of active management.

Some actively managed ETFs are worth a look for income investors while others provide <a href="http://www.benzinga.com/markets/bonds/12/05/2628534/4-etf-fund-of-funds-to-consider">unique fund of funds exposure</a> allowing investors to gain access to multiple ETFs under one umbrella. Some new actively managed ETFs do both of those things.

One such example is the SPDR SSgA Income Allocation ETF (NYSE: <a class="ticker" href="/stock/inkm#NYSE">INKM</a>), which debuted in late April and has thus far accumulated almost $8.9 million in assets under management. 

INKM is home to just 18 holdings, 17 of which are other SPDR funds. That roster is dominated by some funds ETF investors are no doubt familiar with, including the SDPR S&P Dividend ETF (NYSE: <a class="ticker" href="/stock/sdy#NYSE">SDY</a>), the PDR Barclays Capital Long Corporate Term Bond ETF (NYSE: <a class="ticker" href="/stock/lwc#NYSE">LWC</a>) and the and the SPDR Barclays Capital High Yield Bond ETF (NYSE: <a class="ticker" href="/stock/jnk#NYSE">JNK</a>). That trio constitutes for over 40 percent of INKM's weight.

Other familiar funds found in INKM's lineup include the SPDR S&P International Dividend ETF (NYSE: <a class="ticker" href="/stock/dwx#NYSE">DWX</a>), the SPDR Wells Fargo Preferred Stock ETF (NYSE: <a class="ticker" href="/stock/psk#NYSE">PSK</a>) and the SPDR S&P Emerging Markets Dividend ETF (NYSE: <a class="ticker" href="/stock/ediv#NYSE">EDIV</a>).

Overall, INKM provides exposure to five asset classes. Equities lead the charge at over 43 percent of the fund's weight while high-grade corporate bonds command an allocation of almost 32 percent. International real estate plays, high-yield bonds and hybrid securities such as preferred stocks account for the rest of INKM's lineup.

That composition speaks to INKM's income-generating potential and the ETF does not disappoint on that front with a 30-day SEC yield of 4.3 percent. Beyond that, most of INKM's holdings, particularly the ones at the top, are heavily traded. That gives the lightly traded ETF sufficient liquidity despite an average daily volume figure that might turn some investors off (just 4,800 shares).

Another advantage regarding INKM that highlights the advantages of active management is that the fund managers can shift to lower-risk securities during times of elevated market volatility. There is a downside, and it highlights an issue facing many actively managed ETFs: Cost.

INKM charges 0.7 percent per year. That is not terrible among actively managed ETFs, but that is a high expense ratio in the overall ETF universe. In fact, owning SDY, LWC and JNK individually would only cost a combined 90 basis points per year, which cements the notion that there is price to pay when dealing with actively managed ETFs.

Remember, some of INKM's fees will eat away at the fund's yield. On the other hand, with investors searching far and wide for yield, some might be willing to pay up for INKM, particularly if the fund can justify its high fees with even higher performance.

For more on income ETFs, click <a href="http://www.benzinga.com/markets/bonds/12/05/2628534/4-etf-fund-of-funds-to-consider">here</a>.

So many exchange-traded products, so little time. With the number of ETFs and ETNs in the U.S. fast approaching 1,500, investors have a dizzying array of options, so it's not surprising that some indecision may creep into the selection process. 

For the indecisive among us, or for those that like the idea of owning multiple ETFs under one umbrella, an ETF fund of funds could prove to be a shrewd move. Also known as "multi-management," the fund of funds concept allows investors to have exposure to multiple asset classes under the tent of one fund. 

While this concept has proven desirable over time, many firms that sponsor ETF fund of funds don't actually advertise them as such, leaving investors to do some of the digging on their own. A good place to start is with <a href="http://www.benzinga.com/markets/bonds/12/04/2504891/4-asset-allocation-etfs-your-broker-forgot-to-mention-perm-pca">asset allocation ETFs, many of which are comprised of multiple ETFs</a>. With that, let's have a look at some of the more intriguing ETF fund of funds options on the market today.

iShares Morningstar Multi-Asset Income Index Fund (NYSE: <a class="ticker" href="/stock/iyld#NYSE">IYLD</a>)
Not even two months old, the iShares Morningstar Multi-Asset Income Index Fund is the epitome of an ETF fund of funds. The ETF features a small allocation to cash, but its other nine holdings are all other iShares products. 

The roster includes familiar funds such as the iShares iBoxx $ High Yield Corporate Bond Fund (NYSE: <a class="ticker" href="/stock/hyg#NYSE">HYG</a>), the iShares Barclays 20+ Year Treasury Bond ETF (NYSE: <a class="ticker" href="/stock/tlt#NYSE">TLT</a>), the iShares S&P U.S. Preferred Stock Index Fund (NYSE: <a class="ticker" href="/stock/pff#NYSE">PFF</a>) and the iShares Dow Jones Select Dividend Index Fund (NYSE: <a class="ticker" href="/stock/dvy#NYSE">DVY</a>). That quartet represents approximately 55% of IYLD's weight. 

IYLD has risen slightly since its early April debut and has raked in $22.8 million in assets under management. Income investors should note this fund will pay a monthly dividend.

SPDR SSgA Income Allocation ETF (NYSE: <a class="ticker" href="/stock/inkm#NYSE">INKM</a>)
Another new entrant to the ETF game, the SPDR SSgA Income Allocation ETF is one of State Street Global Advisor's new actively managed products and it should be noted that the actively managed space is another area where investors can find multiple ETF fund of funds.

Just over a month old, INKM is home to 18 holdings, 17 of which are other SPDR funds. As is the case with IYLD, the roster is chock full of ETFs many investors are already familiar with. The SPDR S&P Dividend ETF (NYSE: <a class="ticker" href="/stock/sdy#NYSE">SDY</a>), SPDR Barclays Capital Long CorpTerm Bond ETF (NYSE: <a class="ticker" href="/stock/lwc#NYSE">LWC</a>) and the SPDR Barclays Capital High Yield Bond ETF (NYSE: <a class="ticker" href="/stock/jnk#NYSE">JNK</a>) account for over 43% of INKM's weight. 

Russell Equity ETF (NYSE: <a class="ticker" href="/stock/onef#NYSE">ONEF</a>)
One of the pioneers of the ETF fund of funds concept, the Russell Equity ETF is also one of the more unique and unbiased plays in this space. That is to say, ONEF is not loaded with other Russell funds. ONEF is home to 10 other ETFs, but only one, the Russell 1000 Low Volatility ETF (NYSE: <a class="ticker" href="/stock/lvol#NYSE">LVOL</a>), is a Russell fund. The other nine holdings are comprised of five Vanguard and four iShares funds with the iShares Russell 1000 Index Fund (NYSE: <a class="ticker" href="/stock/iwb#NYSE">IWB</a>) commanding over 47% of ONEF's weight. The Vanguard MSCI EAFE ETF (NYSE: <a class="ticker" href="/stock/vea#NYSE">VEA</a>) receives an allocation of over 19%.

With an expense ratio of 0.51%, ONEF is cheaper than the iShares and SPDR offerings highlighted above.

AdvisorShares Accuvest Global Opportunities ETF (NYSE: <a class="ticker" href="/stock/accu#NYSE">ACCU</a>)
Want an actively managed ETF fund of funds heavy on emerging markets? There's an ETF for that and that ETF is the AdvisorShares Accuvest Global Opportunities ETF. ACCU isn't 100% allocated to emerging markets ETFs as the iShares S&P 500 Index Fund (NYSE: <a class="ticker" href="/stock/ivv#NYSE">IVV</a>) currently accounts for 13.5% of the fund's weight.

ACCU's other five ETF holdings are sure to conjure up mixed emotions among emerging markets investors. The iShares FTSE China 25 Index Fund (NYSE: <a class="ticker" href="/stock/fxi#NYSE">FXI</a>) receives a weight of almost 20% and that's fine on the basis of potential Chinese economic stimulus and on the premise that investors will embrace Chinese stocks at some point because they're cheap. We also like an almost 23% allocation, the ETF's largest, to the iShares MSCI Thailand Investable Market Index Fund (NYSE: <a class="ticker" href="/stock/thd#NYSE">THD</a>). 

What's holding ACCU back is a combined weight in excess of 26% to the iShares MSCI Brazil Index Fund (NYSE: <a class="ticker" href="/stock/ewz#NYSE">EWZ</a>) and the iShares MSCI South Africa Index Fund (NYSE: <a class="ticker" href="/stock/eza#NYSE">EZA</a>), two emerging markets that have been punishing investors recently. The iShares MSCI South Korea Index Fund (NYSE: <a class="ticker" href="/stock/ewy#NYSE">EWY</a>) is ACCU's other holding.

For more on asset allocation ETFs, please click <a href="http://www.benzinga.com/markets/bonds/12/04/2504891/4-asset-allocation-etfs-your-broker-forgot-to-mention-perm-pca">HERE</a>.

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