The awful conflict in the Ukraine drags on, inflation remains at historically high levels, the Fed reiterates its intention to bring inflation under control (even if it means weakening the economy), bellwether retailer Target sees its share price have its worst day since Black Monday in 1987, and the S&P 500 and Dow Jones Industrial [...] Read more at ETFtrends.com.
The exchange traded fund industry is getting an injection of new, or old, blood as some of the world’s biggest money managers see opportunity in the quickly expanding ETF universe. For instance, investment houses Neuberger Berman, Morgan Stanley, SEI, and Matthews Asia, which together represent $3 trillion in assets under management, have jumped onto the [...] Read more at ETFtrends.com.
We are witnessing a major transition in the energy sector today, as the world pivots from fossil fuels to clean energy. But this isn’t just about adding solar stocks. Holistic investments should consider the next-gen, “smart” tech transforming worldwide production and consumption of energy. In the upcoming webcast, More Than Just Renewables: Hidden ETF Opportunities [...] Read more at ETFtrends.com.
Some are warning of a greater risk to Europe’s economy. Investors who are similarly concerned can turn to a bearish or short exchange traded fund strategy to hedge further risks in the European markets. Citigroup Inc Chief Executive Jane Fraser was the latest to warn that Europe was more likely than the United States to [...] Read more at ETFtrends.com.
Biotechnology sector-related exchange traded funds were in a bright spot on Friday after Bristol Myers Squibb Co. (NYSE: BMY) said it will acquire drug developers Turning Point Therapeutics (NasdaqGS: TPTX). Among the best performing non-leveraged ETFs of Friday, the SPDR S&P Biotech ETF (NYSEArca: XBI) increased 3.1% and the Virtus LifeSci Biotech Clinical Trials ETF [...] Read more at ETFtrends.com.
Tesla Inc. (NasdaqGS: TSLA) plunged Friday, dragging down consumer discretionary sector-related exchange traded funds, after Elon Musk revealed plans to cut about 10% of salaried jobs. On Friday, the Consumer Discretionary Select Sector SPDR (NYSEArca: XLY) fell 2.9%, the Vanguard Consumer Discretionary (NYSEArca: VCR) dropped 2.5%, and the Fidelity MSCI Consumer Discretionary Index (NYSEArca: FDIS) was down [...] Read more at ETFtrends.com.
Anyone following the energy infrastructure space for a while has probably heard about the long-term contracts set up by midstream companies, making it highly relevant to unpack how and why this matters. Midstream contracts are a primary reason why the sector is less sensitive to inflation and rising interest rates than other income sectors. Midstream [...] Read more at ETFtrends.com.
For this episode of “ETF 360” (recorded before the ETF Trends rebrand to VettaFi), VettaFi’s vice chairman Tom Lydon spoke with Jeff Weniger, CFA and head of equity strategy at WisdomTree, about the rotation back to value happening in markets. Looking back, it’s been around 14–15 years of largely growth for markets, with occasional 6–12 [...] Read more at ETFtrends.com.
Municipal bonds were one of the highlights of the bond market during the height of the pandemic with their attractive yields and tax benefits. Enter 2022, and they’ve followed the rest of the debt market downward, but that could be changing. Rate hikes have been applying downward pressure on bonds, but the sell-offs could be [...] Read more at ETFtrends.com.
With so many thematic ETFs currently entering the market, “a theme needs to be very long term, very developed and very, frankly, investable,” according to Lauren Hein, head of advisor relations at ROBO Global. “We’re looking for something where you can invest in the companies that are developing the technology but also the companies that [...] Read more at ETFtrends.com.
The demand for high yield bond ETFs is suddenly surging. After experiencing roughly $10 billion in outflows year-to-date, high yield fixed income ETFs have brought in more than $2.7 billion in investor capital over the past week, and $4.3 billion in a month. While some of these inflows are somewhat chasing performance, Bloomberg Intelligence senior [...] Read more at ETFtrends.com.
A stronger-than-anticipated jobs report for May has sent markets sliding once again as investors digest further support for financial tightening by the Federal Reserve. In May 390,000 jobs were added, with the unemployment rate holding steady at 3.6%, above expectations by economists, reported the Wall Street Journal. Wages rose by 5.2% in May, a slowdown [...] Read more at ETFtrends.com.
Alibaba Group Holding Ltd.’s and Baidu Inc.’s better-than-expected earnings triggered a rally in Chinese technology stocks. American depositary receipts in both companies rose by more than 10% on Thursday after they posted their results. This led to a 7.6% rise in the broader Nasdaq Golden Dragon China Index, a 3.8% increase in the 30-stock Hang Seng Tech Index, [...] Read more at ETFtrends.com.
The iShares S&P Mid-Cap 400 Value ETF is seeing unusually high volume in afternoon trading Friday, with over 1.8 million shares traded versus three month average volume of about 634,000. Shares of IJJ were down about 1.1% on the day.
Investors, including those seeking income, tend to naturally favor that which is more familiar and better understood, resulting in a home country and familiarity bias. For US investors, performance trends have likely reinforced those biases, as domestic benchmarks have handily outperformed international developed markets over the last decade thanks in part to their significant exposure [...] Read more at ETFtrends.com.
The ARK Innovation ETF (ARKK) took in over half a billion dollars in May inflows. ARK Invest’s flagship fund saw $658 million in net inflows in May, bringing the year-to-date net inflows to $1.5 billion. The fund finished the month with $9.1 billion in assets under management, according to VettaFi. After experiencing outflows for months, [...] Read more at ETFtrends.com.
Large-cap stocks comprise the cores of many investors’ portfolios’ equity allocations. While large-cap stocks have historically been consistent drivers of performance, the returns of many large-cap equity funds may track closely to the performance of the broader large-cap market. Research from FlexShares has found that applying investing factors when building a large-cap stock portfolio may [...] Read more at ETFtrends.com.
Recent market weakness has created a challenging environment for investors, especially for those with shorter time horizons that are preparing for or are already in retirement. It is easy to only think about the market relative to a recent high-water mark. Or, as the case has been recently, from near-term performance as we have seen [...] Read more at ETFtrends.com.
By Chris Konstantinos, CFA, Director of Investments, Chief Investment Strategist SUMMARY Concerns of a pending recession are rising. Traditional indicators suggest that the economy is still healthy, in our view. We believe the economy will escape a recession in 2022 but anticipate continued volatility as those fears persist. Current Signals Still Show Strength As inflation [...] Read more at ETFtrends.com.
In trading on Friday, the SPDR S&P Biotech ETF is outperforming other ETFs, up about 1.7% on the day. Components of that ETF showing particular strength include shares of Turning Point Therapeutics, up about 116.3% and shares of Nurix Therapeutics, up about 14.4% on the da