Each day ETFtrends.com publishes news, strategy and commentary on ETFs in the realms of Commodities, Currency, Equities and Smart-Beta to name a few.
Here’s a look at the Top 15 Most Viewed Articles of the Week on ETF Trends, May 16-20, 2016.
Click the headline to read the full article – enjoy!
Gold prices closed slightly lower Wednesday after meeting minutes from the Federal Reserve revealed the central bank could raise interest rates following its June meeting. For now, one rate hike might not be enough to derail exchange traded funds such as the SPDR Gold Shares (GLD) , iShares Gold Trust (IAU) and ETFS Physical Swiss Gold Shares (SGOL) . Click to read more!
Fixed-income investors who follow the benchmark Barclays U.S. Aggregate Bond Index may be missing out on the stability and yield opportunity found in municipal debt securities. For example, the iShares National AMT-Free Muni Bond ETF (MUB) , the largest muni-related ETF, has a 1.32% 30-day SEC yield but that comes out to a 2.33% taxable equivalent 30-day SEC yield for those in the highest income bracket. For instance, MUB and Vanguard Tax-Exempt Bond Index Fund (VTEB) both track the same benchmark S&P National AMT-Free Municipal Bond Index, which is comprised of investment-grade muni debt. A long-term muni fund like the VanEck Vectors AMT-Free Long Municipal Index ETF (MLN) comes with a more attractive 2.46% 30-day SEC yield. Investors interested in tapping into the muni bond market can also look to the Deutsche X-Trackers Municipal Infrastructure Revenue Bond Fund (NYSEArca: RVNU). Lastly, muni investors can also squeeze out greater returns through high-yield options, like the VanEck Vectors High Yield Municipal Index ETF (HYD) and SPDR Nuveen S&P High Yield Municipal Bond ETF (HYMB) . Click to read more!
Somewhat lost in the well-deserved fervor surrounding the SPDR Gold Shares (GLD) , the iShares Silver Trust (NYSEArca: SLV ) and other gold and silver exchange traded products this year are the impressive performances being notched by platinum and palladium equivalents. The ETFS Physical Platinum Shares (NYSEArca: PPLT) has been particularly impressive. Click to read more!
After rallying late in the first quarter and to start the current quarter, it looked liked as though biotechnology stocks and exchange traded funds were shaking the doldrums that have plagued the group dating back to last year. It appears as though investors will have to wait some more for ETFs such as the iShares Nasdaq Biotechnology ETF (IBB) to legitimately enter new bull markets. In recent weeks, IBB, the largest biotech ETF, has been scuffling. The same can be said of rivals, such as the SPDR S&P Biotech ETF (XBI) and the First Trust NYSE Arca Biotechnology Index Fund (FBT) . Click to read more!
Investors seeking an easy way to fill out a fixed-income portfolio may start off with an aggregate or total bond market exchange traded fund that provides diversified exposure to U.S. government and corporate debt securities. Investors seeking a core fixed-income portfolio position may take a look at a number of broad aggregate bond or total bond market ETFs. Diversified bond ETFs include iShares Core U.S. Aggregate Bond ETF (AGG), Vanguard Total Bond Market ETF (BND), Vanguard Short-Term Bond ETF (BSV), Vanguard Intermediate-term Bond ETF (BIV), Vanguard Total International Bond ETF (BNDX) and Schwab U.S. Aggregate Bond ETF (SCHZ). Click to read more!
Exchange traded products tracking master limited partnerships (MLPs) were thrashed when oil prices tumbled over the past two years, but with crude rebounding in 2016, some income investors are renewing their affinity for products such as the JPMorgan Alerian MLP Index ETN (AMJ) and the ALPS Alerian MLP ETF (AMLP) . Click to read more!
Exchange traded funds (ETFs) and mutual funds can accurately be characterized as “sister” investment products because of their many similarities. Both are basically baskets of investments and offer a diverse range of investment types and strategies. Click to read more!
Gold exchange traded funds dulled Wednesday after minutes from the Federal Reserve’s latest meeting showed that the central bank could hike interest rates in June if conditions are right. The Fed minutes revealed that the policy makers are less concerned about risks posed by the global economic and financial conditions and pointed to strengthening U.S. labor market, the Wall Street Journal reports. Click to read more!
The weaker dollar, sliding Treasury yields and the Federal Reserve’s inability to raise interest rates to this point this year are combining for a perfect storm for high-yielding asset classes, including preferred stocks.
Last year, exchange traded funds such as the iShares U.S. Preferred Stock ETF (NYSEArca: PFF ) and the PowerShares Preferred Portfolio (NYSEArca: PGX ) were stung by speculation the Fed would move forward with multiple rate hikes in 2016, but there has not been a single rate increase through the first four-plus months of the year. Click to read more!
As the markets wade through heightened volatility, many have capitalized on the wild swings with leveraged and inverse exchange traded funds (ETFs) to juice returns. However, while the strategies may generate lucrative returns, investors should fully understand how these products work and the risks involved. Click to read more!
Exchange traded funds with an emphasis on dividends have become increasingly popular. Not to mention dividend ETFs contributed a substantial portion of the growth experienced by smart beta or intelligent index ETFs. But all dividend ETFs are not created equal and some sport higher expense ratios that can erode yields and total returns. Cost-conscious income investors need to be aware of this scenario with ETFs such as the First Trust Value Line Dividend Index Fund (FVD) . Click to read more!
The Global X MSCI Greece ETF (GREK) , the lone exchange traded fund dedicated to Greek stocks, has been notoriously volatile over the past several years, but to its credit, GREK is up more than 37% over the past 90 days and some market observers believe now is the time to invest in Greece. Click to read more!
The United States Oil Fund (USO) , which tracks West Texas Intermediate crude oil futures, and the the United States Brent Oil Fund (BNO) , which tracks Brent crude oil futures, are among this year’s standout commodities exchange traded products, but some energy market observers believe crude is ready to retreat. Click to read more!
High-yielding, income-generating asset classes are benefiting this year as Treasury yields decline and the Federal Reserve puts off another interest rate increase. The group of beneficiaries includes exchange traded funds holding mortgage real estate investment trusts (mREITs), such as the iShares Mortgage Real Estate Capped ETF (REM) and the Market Vectors Mortgage REIT Income ETF (NYSEArca: MORT) . Click to read more!
Real estate investment trusts (REITs) and sector-related exchange traded funds (ETFs) are a good source of attractive payouts in a low-yield environment.
REITs are securities that trade like a stock and invest in real estate directly through property ownership or mortgages. Consequently, revenue are mainly generated through rents or interest on mortgage loans. To qualify for special tax considerations, the asset also distributes the majority of income, about 90% of taxable profits, to investors as dividends. Click to read more!