iShares, the exchanged traded funds (ETF) division of Barclays Global Investors, is shutting down all of its European sector-based ETFs because of a lack of demand from investors.

ETFs are index-linked funds that are listed on a stock exchange and traded like any other share, with their net asset value based on the basket of shares they own. The funds can be linked to broad market indices, such as the FTSE or S&P, or to sectors such as technology, healthcare and financials. However, iShares has found that investors have not been prepared to embrace these sector funds.