54.21 +0.09 (0.17%)
After hours: 4:15PM EDT
|Bid||53.33 x 900|
|Ask||54.47 x 2200|
|Day's Range||54.07 - 54.88|
|52 Week Range||46.25 - 57.52|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||0.94|
|Expense Ratio (net)||0.04%|
Value ETFs seek to capitalize on inefficiencies in the market and have the potential to deliver higher returns with lower volatility.
There is no doubt about it: when it comes to exchange-traded funds (ETFs), advisors and investors love the low-fee products. For several years, the top funds in terms of new assets added are low-fee ETFs. That trend is continuing in 2018.
Market-cap-weighting reflects all market participants' views, allowing passive investors to free-ride on the collective wisdom of all active investors. Fundamental index funds attempt to circumvent this potential problem by severing the link between a stock's portfolio weight and its price. This article explores the investment thesis of fundamental weighting and examines the investment merits of strategies that use this weighting approach.
The Nasdaq Composite hasn't been able to sustain a scorching August that saw the index gain 5.71% and 2.15% the previous month, which could signal that investors may slowly be shifting their preferences from growth to other factors like value and now, quality. Speaking of the latter, one ETF to look at if investors are looking to deploy capital into quality-focused funds is the iShares Edge MSCI USA Quality Factor ETF (QUAL) . Value-focused ETFs like the Schwab US Large-Cap Value ETF (SCHV) have begun to see an uptick in inflows on elevated volumes, but QUAL has also been seeing heightened activity--QUAL has traded with heavy buy flows as of late and grew assets for a fifth straight day as of last Friday.
Investing for retirement usually means investing for the long term. While long-term investing should include individual stocks, low-cost exchange-traded funds (ETFs) and index funds should also be part of the equation.
With widespread volatility and uncertainty, Wall Street is struggling to find a solid footing this year. The worries include inflationary pressure, a faster-than-expected rates hike, political instability in Washington, trade tensions, technology sector turmoil and rising yields.Source: Shutterstock