This Week In ETFs: August 28th Edition

by on August 28, 2011

The past week saw a slew of economic data released from all over the world. Investors’ eyes, however, were focused on the U.S. as we reported a lower than expected GDP, and Fed Chairman Ben Bernanke made his highly anticipated Jackson Hole speech. Although the Chairman made no mention of a third round of quantitative easing, markets held their ground as Bernanke assured citizens that the Fed will closely monitor the situation and reassess its next move in a month. In other news, Hurricane Irene is heading straight for the East Coast of the U.S., and is predicted to cause a significant amount of damage, forcing investors to scramble before markets close for the weekend.

The ETF world took a backseat this week as investors had bigger fish to fry. Below, we outline three of the best ETF stories investors may have missed in this hectic week:

Gold and Silver Aren’t the Only Precious Metals Making a Killing at Money Morning:

The last few months have seen gold make a historic run, as the metal briefly topped the $1,900 per ounce mark last week. As the metal has shot up, more and more investors have hopped on board, allowing GLD to surpass SPY in assets for a short period of time. But while investors have been focused on gold and silver, there are other precious metals performing quite well. This article, by Peter Krauth, outlines the recent performances of platinum and palladium, two metals that investors should also watch in the current environment. Krauth also outlines two ETFs to gain access to these metals, PALL and PPLT.

BIL, SHV: Guaranteed Zero Returns at IndexUniverse:

As markets have become increasingly tumultuous in recent weeks, investors have been piling into their favorite safe havens like treasury funds. Last month alone saw inflows of over $1.1 billion in the 1-3 year T-Bill ETF (BIL), along with several other treasury ETFs. But are investors really gaining anything from these allocations? Gene Koyfman certainly doesn’t think so, as he compares one of these products to storing cash in a basic checking account. Koyfman goes on to outline what he feels are better options for investors to find both safety and yield in the ETF space during these uncertain times.

ETFs To Tap Into Emerging Market Consumers: Six Ways To Play at ETF Database:

Interest in emerging markets has surged in recent years, and investors have embraced ETFs as the preferred means of accessing this asset class. As investors have grown tired of stagnant growth in numerous U.S. sectors, emerging markets have become necessary allocations for any well diversified portfolio. More recently, ETFs have helped target more specific sectors of various emerging markets, allowing investors to tap into the most profitable parts of certain economies. This article, by Stoyan Bojinov, outlines several emerging market ETFs that make a play on the consumer segment of various emerging economies across the globe.

Disclosure: No positions at time of writing.