Summary Bonds have acted as a very strong hedge against periods of market stresses in the past 50 years. However, with interest rates trading at
Category: Investment
Vanguard Financials ETF: Better For Dividends, After Risk Assessment
Summary The banking sector has still not recovered from March lows despite playing a crucial role in the recovery process. Banks have made significant provisions
SPDR S&P International Dividend ETF: A Well-Diversified International Alternative
DWX offers you well-diversified exposure to developed international markets besides the US; emerging market exposure is limited to 15%. Dividend plays have come into focus
Sticking With High Quality Cyclicals
Investors should continue to favor high quality cyclicals, i.e., companies that are geared to the economy but are more profitable than their peers.
3 ETFs to Get Tactical Exposure to Bonds
The fixed income market was one of the stars in a pandemic-ridden 2020, especially when the Federal Reserve came in to backstop bonds earlier this
WisdomTree Emerging Markets SmallCap Dividend Fund: Ideal Conditions And Valuations (NYSEARCA:DGS)
This small-cap EM-themed ETF offers investors a dividend yield of almost 4%.
The efficiency ratio at 0.68% is on the higher side by general ETF standards but is in line with other EM-themed ETFs.
Holdings are well-diversified across stocks and sectors; dominant regions include Taiwan, Korea, and China all of whom have favorable economic prospects.
EWS: Ideally Placed For Financial Sector Recovery
The iShares MSCI Singapore Capped ETF (EWS) offers a high dividend yield and the opportunity to benefit from Singapore’s stable economic outlook and the strong likelihood of currency strength.
With Bond Fund ETFs, the Credit Keeps the SKOR
The FlexShares Credit‐Scored US Corporate Bond Index Fund (NasdaqGM: SKOR) is an investment-grade corporate bond exchange traded fund worth considering in 2021 as the potential for narrower yield spread lingers
Can EM Debt ETFs Satiate Your Appetite for Yield?
That said, it’s a good time to seek yield in other parts of the world, such as emerging markets (EM), via the Invesco Emerging Markets Sovereign Debt ETF (PCY A)
CHIQ: China’s Consumer Discretionary Sector Headed For Major Speedbumps (NYSEARCA:CHIQ)
China’s consumer discretionary sector has seen extreme gains over the past few months as investors pile into the only major area of global economic growth.
China’s consumption has grown at a fast pace over the past decade, but growth has decreased substantially over the past few years as its housing market becomes unstable.
Recent surprise defaults of AAA-rated state-owned-enterprises have sparked fears of hidden widespread risks in China’s major corporations.
Despite risks, valuations of China’s major consumer discretionary companies have nearly doubled this year.
The China consumer discretionary ETF CHIQ’s performance may reverse soon as the PBOC looks to stop the Yuan’s rise and the U.S. flirts with delisting Chinese firms.
Risk-On Might Be Back, But Keep the Euros Hedged
You can bet that Europe is keeping an eye on what the markets are doing in the U.S. The hope is that a vaccine rally can continue to power equities through the rest of 2020. With optimism and a renewed risk-on sentiment running rampant in the global capital markets, including Europe, it’s still wise to keep those currencies hedged in these volatile times
Schwab U.S. Dividend Equity ETF: An Elaborate Cocktail Available At A Discount
A dividend ETF is a fruitful alternative to keeping money in the bank or having to screen individual stocks.
In this case, the Schwab U.S. Dividend Equity ETF is a low-cost dividend investment tool but delivers great performance when compared with peers.
Vanguard Health Care ETF: A Sector That’s Both Defensive And Growing
VHT is a low cost ETF that provides exposure to healthcare sector, primarily pharmaceuticals, medical equipment, and insurance.
VHT’s exposure to well-established companies with stable market products makes it defensive in this economic environment.
VHT is also poised for growth as the economy recovers and healthcare spending continues to skyrocket.
SPDR ETFs: Liquidity and Price Discovery Tools
By State Street Global Advisors During a period of heightened volatility, SPDR ETFs served as an effective price discovery tool that enabled investors to assess the valuation and liquidity of the overall market.