The ETF 50 Index™ finished September ahead 4.7%, its largest monthly gain this year. The benchmark of the most widely held exchange-traded funds advanced 3.5% in the third quarter to finish the first nine months of the year ahead 11.5%.

Despite the spreading credit mess and the continuing weakness of small-cap stocks, investors are racking up solid and accelerating advances. ETF investors racked up gains of $17.20 billion in September, bringing their year-to-date profits (exclusive of new flows) to $48.54 billion.

And despite a flight from risk that began in August, September's biggest gainers included iShares Brazil Index (EWZ), up 19.5%, iShares FTSE/Xinhua China 50 Index (FXI), up 19.8%, and iShares Latin America 40 (ILF), ahead 13.8%. The more-diversified iShares Emerging Markets Index (EEM) advanced 11.6%.

SPDR S&P 500 (SPY) was ahead 3.4% in the month.

Reflecting inflation fears stoked by the Federal Reserve's half-point cut in interest rates during the month, StreetTracks Gold Shares (GLD) spurted 10.5% in September.

Among domestic stocks, the weakest groups were small caps, finance and value securities. iShares Russell 2000 Index (IWM) crawled ahead 1.5%, the Financial SPDR (XLF) 1.7% and iShares S&P Mid Cap 400 Barra Value (IJJ) 1.4%.

The ETF 50 Index™ posted its second-best 2007 performance in April with a gain of 3.4%. The biggest monthly decline was July's 1.8% slide.

The ETF 50 Index™ represents the asset-weighted price performance of the 50 largest exchange-traded funds. It consists of a broadly diversified universe of funds representing domestic and foreign stocks, bonds, commodities and real estate, and is a better indicator of actual investor returns than indices tied to particular markets.