|Bid||31.23 x 1000|
|Ask||38.50 x 1800|
|Day's Range||35.22 - 35.45|
|52 Week Range||31.73 - 39.93|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||0.88|
|Expense Ratio (net)||0.39%|
The Federal Reserve has instituted three interest rate hikes in 2018, and the general consensus reverberating through the markets is that a fourth and final rate hike will cap off the year on Dec. 19. As these factors seep into the markets, a challenge for investors moving forward is locating an investment vehicle that can exhibit sustainable income. Bonds are the default safe-haven investment when U.S. equities go awry, and an appetite for high yield during the bull run was apparent, but they exposed investors to a high degree of downside risk associated with less- than-investment grade debt.
Shares of General Electric dropped to its lowest level in close to a decade as it undergoes deeper regulatory accounting investigations while new CEO Larry Culp struggles to revive the once-heralded corporation. ETFs with the largest holdings of GE were mixed, such as Davis Select US Equity ETF (DUSA) , Oppenheimer S&P Ultra Dividend Rev ETF (RDIV) and Industrial Select Sector SPDR ETF (XLI) .
Shares of General Electric dropped to a nine-year low, putting the hurt on exchange-traded funds (ETFs) with the largest holdings of GE, such as Davis Select US Equity ETF (DUSA) , Oppenheimer S&P Ultra Dividend Rev ETF (RDIV) and Industrial Select Sector SPDR ETF (XLI) . GE shares were down 4% as of 1:15 p.m. ET as the company is working feverishly to fix a gas turbine failure in Texas. The turbine issue was purportedly discovered by one of its customers, energy company Exelon, citing an "oxidation issue" with the turbine's fan blades at two plants located in Texas.
When investors shop for dividend stocks and funds, they don't usually expect gangbusters price performance. But they often look for a steady yield.
Specifically, investors can look to OppenheimerFunds' suite of Oppenheimer Ultra Dividend Revenue ETF (RDIV) and more recently launched Oppenheimer Emerging Markets Ultra Dividend Revenue ETF (REDV) and the Oppenheimer International Ultra Dividend Revenue ETF (RIDV) . Oppenheimer Ultra Dividend Revenue ETF invests in the securities in the S&P 900 with the highest trailing dividend yield. Each of these securities is then weighted by top line revenue, instead of market capitalization.
NEW YORK , Sept. 13, 2018 /PRNewswire/ -- OppenheimerFunds, a leading global asset manager, today announced the continued expansion of its ETF offerings with the addition of two new revenue-weighted international ...
Interest rates are rising in the U.S. and some other markets, but that is not standing in the way of solid dividend growth. Data confirm as much. In fact, global dividends recently ascended to a record high.
Rising interest rates can be a bane for dividend stocks and high-yielding, income-oriented sectors, but there is some positive news in the 2018 dividend outlook. Through the first half of the year, approximately 40% of S&P 500 member firms boosted dividends, potentially making some of the best funds to buy in the dividend landscape all the more attractive. Looked at differently, some of the best funds to buy need to show investors that dividend stocks are worth the extra risk relative to safer U.S. government debt.
Dividend ETFs have been a popular play but have quickly soured this year. "Many ETFs, Dividend ETFs in particular, have underperformed this year," David Mazza, Head of ETF Investment Strategy and Beta Solutions at OppenheimerFunds, said at the 2018 Morningstar Investment Conference. Previously, in an environment of low interest rates, people piled into alternative yield-generating investments, like dividend stocks, that helped bolster their income portfolios.
With the Federal Reserve raising interest rates, sending Treasury yields higher, many investors thought some high dividend strategies and the related ETFs would be laggards this year. In some cases, that is true, but the Oppenheimer Ultra Dividend Revenue ETF (RDIV) is a notable exception. RDIV is up 6% year-to-date, making it one of the best-performing dividend ETFs this year.
Concerns about higher Treasury yields are weighing on some dividend strategies this year, but some dividend exchange traded funds are still delivering solid performances. While some may be put off by the focus on highest yielding dividend stocks taken from a broader universe and the potential risks this entails, RDIV also includes a revenue-weighted tilt that could refocus the ETF strategy toward companies with stronger fundamentals or those that are more likely to maintain their higher level of yields. Additionally, RDIV's revenue-weighted methodology can help investors avoid expensive stocks and tap into the value factor at a time when some market observers are betting value stocks are poised to rally.
A revenue-weighted ETF approach could serve as a compelling alternative to market-cap weighting for core equity positions. On the recent webcast, Anchor Your Core with Revenue Weighting, Brian Levitt, ...
With the growing migration towards index investing strategies, financial advisors may be wondering whether traditional market cap weighting is the right approach for their clients. On the upcoming webcast, ...