Investors can’t seem to catch a break from volatile trading on Wall Street as financial woes in Europe and debt ceiling drama at home are putting significant pressure on equity markets across the globe. Politicians in Washington D.C. have been struggling to compromise on a viable plan for modifying the debt-ceiling as well as outlining a plan to reduce the towering deficit and only recently, in the 11th-hour, did they finally reach an agreement. Likewise, investors have been flocking to “safer” corners of the market since the gloomy outlook for the U.S. and much of the euro zone has prompted growing fears of inflation and general uncertainty. Many have turned away from traditional fixed income holdings, instead opting for commodity exposure, in an effort to protect their portfolios against volatility and defend against inflation.
Most investors seeking exposure to commodities as protection against inflation typically focus on gold and oil. But in recent years, agricultural commodities have become increasingly popular choices, as increases in population and the scarcity of land create a compelling case for investment. As the world’s population continues to grow and farm land becomes more valuable, demand for agricultural commodities is expected to continue to rise, inevitably pushing food prices higher. [click to continue…]
The Independence Day-shortened week was a tumultuous one for markets as stocks stayed flat for much of Tuesday and Wednesday only to soar higher in Thursday’s session on hopes of a jobs recovery. Unfortunately, this was quickly dispelled by a horrendous June jobs report which saw just 14,000 jobs created in the month, helping to push the national [...]
Global X notched another ETF industry first on Thursday, debuting a fund that focuses on companies globally that are engaged in some aspect of the fertilizer industry. The Global X Fertilizers/Potash ETF (SOIL) seeks to replicate the Solactive Global Fertilizers/Potash Index, a benchmark that includes about 29 companies from both developed and emerging markets.
The past few months have been somewhat difficult for food producers as rising commodity prices have greatly impacted the bottom lines of many firms. Fortunately, the recent commodity sell-off and strong performances out of a variety of markets have reignited interest in this traditionally safe sector as a way to play the equity markets with lower levels of risk. [...]
Global X has announced the launch of its latest ETF, rolling out a product that will offer exposure to the global food and beverage industry. The new Global X Food ETF (EATX) will seek to replicate the Solactive Global Food Index, a benchmark that consists of about 50 companies engaged in the the agriproduct or [...]
Last year was a good year for most asset classes, as investor portfolios continued to recover from the recent recession. The difference in performance between many comparable funds was significant, and many of the best performers of 2010 are relatively small funds that maintain considerably smaller asset bases than their more popular competitors. Below, we [...]
This past year the ETF industry picked up steam, as total assets in exchange-traded products reached $1 trillion for the first time. As ETFs continued their impressive growth, issuers have continued to provide innovative products to the market in order to meet ever-increasing demand. This past year saw the inception of a number of unique [...]
Stocks have endured a tumultuous week as fears over rate hikes in China and a debt crisis in Ireland sent equities into a frenzy. Markets were able to claw back some of the lost ground in trading yesterday based on news that Ireland may be close to accepting a bailout from the European Union and [...]
As the value of the U.S. dollar continues to slide, many investors have embraced commodities as an opportunity for generating solid returns in an uncertain environment. ETNs and ETFs tracking various commodities have performed extremely well over the past few months, as concerns over QE have combined with ongoing supply worries in a variety of [...]
Despite lukewarm data, markets soared last week to finish out the month, propelling equities to their best September since the World War II era. Despite this gain on the month, equities finished the week slightly below their Monday opening levels with the S&P 500 sinking by 0.2% and the Nasdaq slipping by 1.3%. This flat [...]
Though the highlight of the week on Wall Street has likely already passed–the latest Fed commentary had the attention of investors around the world–the next few days may provide some insight as to the strength of the recovery here in the U.S. For the time being, markets remain volatile and more susceptible to shifts that [...]