This Week In ETFs: August 7th Edition

by on August 7, 2011 | ETFs Mentioned:

This week featured some of the most dismal trading sessions in recent memory as stocks slid significantly throughout the timeframe. While the week started off on what many considered to be a high note, the passing of the debt deal, stocks saw little to no gains from our evasion of the debt ceiling. In fact, poor manufacturing reports and a weaker jobless claims report thrashed equities as the S&P 500 sank as much as 3.5% intraday on Thursday. Another slow week for equities has led to more analysts calling for a double dip recession as investor confidence seems to be lower than ever. The ETF world saw healthy activity though, as several new funds launched into this treacherous environment while several tentative products were stuffed into the product pipeline [see also New Emerging Markets ETF Option: HILO Debuts].

Below, we outline three of the best ETF stories from around the web this week:

Playing Defense With ETFs at IndexUniverse:

It is no secret that the financial world is in a very unstable state, making it very difficult to find the right investment in an environment that is exhibiting such high levels of volatility. But some of the newer exchange traded products may present themselves as a good outlet for these uncertain times. Specifically, the Russell and PowerShares low volatility products, LVOL and SPLV respectively, have a unique strategy for choosing their holdings, and may give investors the stability they are looking for. This article, by Paul Britt, outlines these two funds, and how investors can use them to round out their portfolio in a volatile market.

Is This A Great Environment For Gold Stocks? at Financial Market Publisher:

As markets have continued their downfall for most of the week, investors around the world are beginning to fear a global economic slowdown. With a $14.3 trillion pile of debt staring the U.S. in the face, the future will hold harsh spending cuts and small budgets for our government, as we try and tackle our debts and bring our financial system back into order. But while equities may be under significant pressure, gold has been reaping the benefits as the precious metal shot up to well above $1,650 per ounce this week. This article, by Justice Litle, outlines gold’s recent performance as well as a peek into how it may perform in the near term.

ETF Research Report Now Available: China ETFs In Focus at ETF Database:

China is one of the most important economies in the world and it is set to outgrow the U.S. in just a few decades. As the most populated country on the globe, this emerging economy has been a popular play for many investors seeking high growth prospects for their portfolio. There are currently a long list of products that offer exposure to Chinese equities, but choosing the right one can be difficult for investors. This in-depth report from ETF Database features analysis on all China ETFs as well as close inspection of all of the ins and outs of the booming nation. Readers can download a free sample of the report, or get the entire thing by signing up for a free and easy Seven-day ETFdb Pro Membership trial.

Disclosure: No positions at time of writing.