This year more than ever before, investors of all sizes are giving thanks for the tremendous expansion in the ETF industry in recent years. ETF assets continue to climb, even in challenging economic environments. And in many cases, the growth of this industry is thanks to an exodus of cash from traditional mutual funds to vehicles that seem like new innovations, although they are actually approaching their two decade anniversary.
For certain investors in certain circumstances, mutual funds make a lot of sense. But while these vehicles can still be useful in a limited number of scenarios, they are bleeding cash because ETFs are in many ways a better solution that can deliver a number of advantages [see 25 Things Every Financial Advisor Should Know About ETFs]. For those advisors and individual investors beginning to explore the opportunities in ETFs, we present a quick rundown of why so many have embraced these securities: [click to continue…]
Most investors probably never expected that it would never come to this. With only days remaining until the day the government coffers supposedly go dry, a deal to avoid a default remains elusive (one would suspect the August 2 date is at least 72 hours or so in advance of a hard deadline). The back [...]
Since PowerShares debuted its first active ETFs in the spring of 2008, this corner of the exchange-traded product market has grown tremendously. Though many active ETFs have been somewhat slow to accumulate assets, the increase in the size of the lineup highlights the trend towards vehicles that combine active management with the exchange-traded structure. There [...]
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 [...]
No matter where investors look in the developed world, the picture isn’t pretty. In the U.S. unemployment remains intolerably high, and uncertainty over the latest round of QE will continue to hang over stock markets. In Europe efforts to control surging deficits have been met with protests and public outrage, complicating the process of reeling [...]
The performances of global equity markets since the depths of the most recent recession have led many investors to a major revelation. Emerging markets are the key to the global economy; the developed world is really just along for the ride. Although China gets much of the attention from international investors, developing economies around the [...]
For investors looking to establish emerging market exposure, the economies of the BRIC nations are generally the default option. As growth has ground to a halt in the world’s developed economies, interest in emerging markets has surged and investors have begun digging deeper to uncover promising growth opportunities in the developing world. For those with [...]
One of the greatest spectacles in sports kicks off in South Africa over the weekend, with 32 countries gathering to compete in the final stages of the World Cup. Even the economists of the world have taken an interest in the upcoming matches; ABN Amro recently released a note predicting that the world economy would [...]
When the soccer World Cup kicks off in Johannesburg this weekend, it will mark the beginning of one of the most anticipated sporting events of all time. The month-long tournament will showcase the world’s finest athletes and most passionate fans on a global stage. But also on display over the next four weeks will be [...]
In recent weeks markets have encountered turmoil with prospects for growth around the world being slashed as debt issues in Europe weigh on investors. As investors continue to flee the euro, many are flocking towards the relative safety of the U.S. dollar, further driving up the greenback and dragging down commodity prices. In addition to [...]
As ETFs have transitioned from a closet industry to a mainstream investment vehicle, a growing number of investors has become familiar with the exchange-traded structure and the nuances of of the industry. Most advisors now recognize the “super tickers”–SPY, GLD, EEM, etc.–and have a good feel for the size and scope of the industry. But [...]
