With less than two months left in 2022, it’s accurate to say this will be another forgettable year for emerging markets equities. The proof is in the pudding, as the widely observed MSCI Emerging Markets Index is down about 29% year-to-date. However, stocks in some developing economies are performing significantly less poorly. India, which is [...] Read more at ETFtrends.com.
In a brutal year for fixed income assets, some advisors and investors may be looking for tax loss harvesting ideas or positioning for a 2023 bond rebound. Those are reasonable views to take as some market observers are forecasting just one more rate hike of 50 basis points this year by the Federal Reserve and [...] Read more at ETFtrends.com.
Truth be told, low-volatility exchange traded funds have been enjoying plenty of moments over the course of 2022. The products are living up to their billing, performing less poorly than the broader market while equities struggle while delivering reduced volatility. There could be more good news on the way for ETFs such as the Invesco [...] Read more at ETFtrends.com.
Municipal bonds have been one of the bright spots in a bond market that’s been battered and bruised by rising interest rates. Munis have been offering investors an attractive mix of yield and credit quality. “This is because municipal bond funds continue to see outflows – not as vigorous as last June’s but still heavy,” [...] Read more at ETFtrends.com.
Issuance of sustainable bonds and related fare dipped a bit in the third quarter, but the overall trends in this corner of the fixed income market are encouraging. That could prove to be good news for patient investors embracing exchange traded funds such as the SPDR Bloomberg SASB Corporate Bond ESG Select ETF (RBND) and [...] Read more at ETFtrends.com.
With the S&P 500 down 22% year-to-date, it’s not hard for equity investors to find sources of disappointment. At the sector level, not much is working besides energy.
By Kevin Nicholson, CFA, Global Fixed Income CIO | Co-head of Investment Committee SUMMARY Fixed Income – More of a Treat than a Trick for Yield Seeking Investors, in our view. We expect a shift from equities to fixed income with yields above 4% for income investors. 4% or higher risk-free rates align with many [...] Read more at ETFtrends.com.
Sensitivity to rising interest rates can vary by income investments, with some vehicles more directly impacted than others. For example, interest rates are a primary determinant of bond performance, but the same is not true for MLPs. Other income categories are sensitive to rising interest rates because of their use of debt. Equity income investments [...] Read more at ETFtrends.com.
October saw ETF flows brighten for previously beleaguered U.S. equities and fixed income ETFs with stronger inflows, while commodities and inverse ETFs saw significant outflows. While this week’s 75 basis point rate hike from the Fed has dented the October rally’s momentum, the S&P 500 and Dow Jones are still up 4.2% and 11.7% over [...] Read more at ETFtrends.com.
With more earnings coming down the pipe, investors looking for a buying opportunity may want to consider a gold value ETF opportunity via the Sprott Gold Miners ETF (SGDM) following the Barrick Gold Corporation (GOLD)’s earnings drop. The gold firm saw its stock drop Thursday following a $653 million revenue miss despite beating the Zacks [...] Read more at ETFtrends.com.
Two earnings reports are set to arrive today from fintech firms accessible via the ARK Fintech Innovation ETF (ARKF). Digital assets platform Coinbase Global, Inc. (COIN), and Argentinian e-commerce site MercadoLibre Inc. (MELI), report their earnings Thursday evening, offering investors the opportunity for exposure to the burgeoning landscape of online commerce via the fintech earnings-exposed [...] Read more at ETFtrends.com.
The S-Network Global Travel Index (TRAVEL) is largely consumer-driven to the extent that performance is more aligned with consumer-based indexes rather than other traveling-related indexes. We’ve discussed in previous notes how top constituents include luxury goods retailers (LVMH Moet Hennessy Louis Vuitton SE [MC FP, 4.7% index weight] and Estee Lauder Companies [EL, 3.9% index [...] Read more at ETFtrends.com.
In times of duress and intense volatility, many investors cash out their positions to wait out the tough times. However, not all investors have the luxury of sitting out the rough market swings, especially retirees who are reliant on a consistent source of income. In the upcoming webcast, How to Mitigate Risk in Turbulent Times, [...] Read more at ETFtrends.com.
Investors should consider the growth opportunities in the international markets and look to an exchange traded fund investment strategy based on bottom-up, fundamental research to build a concentrated portfolio of high-conviction investment ideas. In the recent webcast, Considering a Rebalance into International Stocks? A Conversation on BNY Mellon’s Concentrated International ETF, Matthew Camuso, ETF strategist [...] Read more at ETFtrends.com.
The S&P 500 Equal Weight Index outperformed the S&P 500 in October, building on equal weight’s trailing 12-month relative outperformance. The S&P 500 EWI increased 9.80% in October, outperforming the S&P 500 by 2% during the month. Key performance contributors for equal weight last month were the underweight to the communication services and information technology [...] Read more at ETFtrends.com.
As third-quarter earnings season is well underway, many midstream companies have announced continued buyback activity. Buybacks are an important tool for midstream companies, complementing dividends, and reinforcing midstream’s commitment to returning capital to shareholders. MPLX LP (MPLX) on Monday announced the partnership repurchased $180 million of common units held by the public in the [...] Read more at ETFtrends.com.
The likelihood of Europe entering a recession is growing. While the length and scale of such a downturn is uncertain, investors may still want to keep an eye on the region, since it could be a better investment opportunity than other developed market equities. After all, investing during a downturn often pays off more than [...] Read more at ETFtrends.com.
The Fed has raised interest rates by another 0.75% with the Fed Funds range now between 3.75%-4% and Federal Reserve Chair Jerome Powell cautioned that rates still have further to go, putting to rest any bullish hopes of a pause in hikes anytime soon. “We still have some ways to go and incoming data since [...] Read more at ETFtrends.com.
The Federal Reserve suggesting that aggressive rate hikes aren’t going away anytime soon after raising interest rates yet again by 75 basis points dashed many investors’ hopes that the U.S. central bank would pivot from its hawkish path to fight inflation. As a result, the rally that markets enjoyed in October came to an end, [...] Read more at ETFtrends.com.