ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Disruptive Technology
    • Energy Infrastructure
    • ESG
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Fixed Income
    • Free Cash Flow
    • Gold/Silver/Critical Minerals
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Market Insights
    • Modern Alpha
    • Night Effect
    • Portfolio Strategies
    • Retirement Income
    • Richard Bernstein Advisors
    • Tax Efficient Income
    • Volatility Resource
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Sector Tracker Tool
    • ETF Database Categories
    • Head-To-Head ETF Comparison Tool
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
    • Indexes
    • Mutual Fund To ETF Converter
    • ETF Data for Journalists
    • ETF Nerds
  • Research
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Index Education
    • Index Insights
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Multimedia
    • ETF 360 Video Series
    • ETF Trends on Videos
    • ETF Trends on Podcasts
    • ETF Prime Podcast
  • Company
    • About VettaFi
    • Get VettaFi’ed
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Active ETF Channel
  2. Big Tech Is No Longer Certain; Consider Active
Active ETF Channel
Share

Big Tech Is No Longer Certain; Consider Active

James ComtoisFeb 03, 2023
2023-02-03

Big tech had a rough year in 2022. And with Google, Microsoft, Amazon, and Facebook having announced massive layoffs, it doesn’t appear as though 2023 will be the sector’s comeback year. And based on the recent lackluster earnings from Apple, Amazon, and Google parent Alphabet, it could be argued that the glory days of big tech are in the rearview.

In fact, that’s exactly what the Washington Post is arguing. “The golden age is over,” according to the news outlet. “Speeches about austerity have replaced the free-flowing stock grants and free sushi lunches.”

Apple missed revenue, profit, and sales expectations for many of its lines of business, with overall sales for the holiday quarter down 5% from last year’s, the company’s first year-over-year sales decline since 2019. Amazon, meanwhile, posted slowed growth in its retail and cloud computing businesses, while giving a pessimistic guidance. And Alphabet fell short of expectations on revenue and earnings per share, as its advertising declined year-over-year.

The end of big tech’s heyday shows that investors can no longer simply park their money in a large-cap index fund. That’s where active management can come into play.

While passive strategies lack the flexibility to adapt to changing market environments, active ETFs can offer the potential to outperform benchmarks and indexes. Plus, active managers with greater resources and greater scope benefit from economies of scale, which can often translate to better returns.

“Company fundamentals regularly shift, and skilled managers of active ETFs are able to adjust the portfolio to reflect what is likely ahead,” said Todd Rosenbluth, head of research at VettaFi. “Index-based ETFs must continue to hold onto shares of companies facing operational challenges.”

As part of its lineup of active exchange traded funds, T. Rowe Price offers a suite of actively managed equity ETFs, including the T. Rowe Price Blue Chip Growth ETF (TCHP C+), the  T. Rowe Price Dividend Growth ETF (TDVG B), the T. Rowe Price Equity Income ETF (TEQI B), the T. Rowe Price Growth Stock ETF (TGRW C), and the T. Rowe Price U.S. Equity Research ETF (TSPA C).

“When things are going sideways, that’s where active managers can alleviate some of the burden from the investor,” said Neil E. Kays, senior product marketing manager at T. Rowe Price.

T. Rowe Price has been in the investing business for over 80 years, conducting field research firsthand with companies, utilizing risk management, and employing a team of experienced portfolio managers carrying an average of 22 years of experience.

For more news, information, and analysis, visit our Active ETF Channel.

Loading Articles...
Help & Info
  • Contact Us
Tools
  • ETF Screener
  • ETF Analyzer
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Performance Visualizer
  • ETF Database Model Portfolios
  • ETF Database Realtime Ratings
  • ETF Database Pro
More Tools
  • ETF Launch Center
  • Financial Advisor & RIA Center
  • ETF Database RSS Feed
Explore ETFs
  • ETF News
  • ETF Picks of the Month
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Best ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Legal
  • Terms of Use and Privacy Policy
  • © 2023 VettaFi LLC. All rights reserved.
Follow ETF Database
Follow ETF Database

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X