The Energy Bull ETFdb Portfolio is now available to ETFdb Pro members and those with a free 7-day trial of the Pro subscription. This new portfolio, one of more than 30 all-ETF model portfolios available at ETFdb.com, is designed for risk tolerant investors who wish to construct a well rounded portfolio that tilts exposure towards the lucrative energy sector. The investment thesis behind the Energy Bull ETFdb Portfolio may appeal to those who believe that the energy sector of the market will account for a significant portion of GDP growth, job creation, and stock market appreciation in the coming years.
This ETFdb portfolio is geared towards investors who are bullish on the global economic recovery and wish to favorably position themselves as energy demand continues to grow across developed and emerging markets alike. Although exposure to the energy sector is risky given the inherent volatility in this asset class, there are a number of potential benefits for those willing to take on higher levels of risk [see In Search Of The Best Energy ETF]. Investments in the energy sector can be used as a tactical tool in a number of ways: to hedge against inflation, to establish a defensive play for potential geopolitical tensions in the Middle east, as well as tapping into emerging market growth.
The Energy Bull ETFdb Portfolio allocates 85% of its total assets to equities, including both energy sector-specific ETFs as well as more broad-based funds. To round out exposure, we have added an intriguing commodity ETP, which offers investors relatively balanced exposure to a number of commodities while still maintaining a high weighting in the lucrative energy futures market. The Energy Bull ETFdb Portfolio further sets itself apart by lacking traditional fixed income holdings. Instead, this portfolio allocates a part of its assets to the MLP asset class in an effort to fill our fixed income void, by opting for a fund that generates a steady and a relatively high yielding income stream, which helps to smooth out volatility over the long haul.
The complete Energy Bull ETFdb Portfolio is available to ETFdb Pro members or with a free 7-day trial to ETFdb Pro. Also check out our new Low Volatility ETFdb Portfolio , as well as our Cheapskate Hedge Fund ETFdb Portfolio.
Also included with the ETFdb Pro subscription are more than 30 all-ETF model portfolios, including both retirement-focused and more tactical themed strategies. [To see all that is included, a free sample of the Emerging & Frontier Markets ETFdb Portfolio is available to all ETFdb readers]
Disclosure: No positions at time of writing.