ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Direct Indexing
    • Disruptive Technology
    • Energy Infrastructure
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Financial Literacy
    • Fixed Income
    • Gold/Silver/Critical Minerals
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Market Insights
    • Modern Alpha
    • Night Effect
    • Portfolio Strategies
    • Responsible Investing
    • 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
  • 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 of the Week Podcast
    • ETF Prime Podcast
    • Video
  • Company
    • About VettaFi
    • Get VettaFi’ed
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Retirement Income Channel
  2. Get on the Dow Jones’ 5-Day Rally With NDJI
Retirement Income Channel
Share

Get on the Dow Jones’ 5-Day Rally With NDJI

Karrie GordonOct 27, 2022
2022-10-27

The Dow Jones Industrial Average has hit its fifth consecutive day of positive closes in a volatile week of earnings, resulting in the Nasdaq and S&P 500 ending a three-day rally on Wednesday, dragged down by their technology exposures to close at a loss both Wednesday and Thursday.

The Dow rallied on higher-than-expected third-quarter GDP, with the U.S. economy growing at a 2.6% annualized rate compared to estimates of 2.3%. Because of its limited exposure to the technology sector, the Dow was able to ride high while the Nasdaq and S&P 500 were pulled under by their technology weightings.

“It’s very much a bifurcated market, a tale of two cities,” Tim Ghriskey, senior portfolio strategist at Ingalls & Snyder in New York, told Reuters. “There’s a lot of pressure on tech and tech-plus names, higher growth names. On the flip side, you’re seeing a lot of strength in other sectors, particularly consumer staples, energy, financials, industrials, and utilities.”

Major blue-chip companies McDonald’s and Caterpillar reported better-than-expected quarterly earnings on Thursday, while Facebook’s parent company Meta Platforms’ big miss pulled its stocks down 23.5%. Impending recession risk has taken a heavy toll on high-growth technology companies that rely heavily on their forward earnings, with more hits expected to come as tech companies continue to report: Amazon reported missed earnings expectations as well after the bell.

The Dow is an index comprised of 30 U.S.-listed, well-established companies called blue-chips and is one of the oldest indexes in the U.S. It’s also unique in that it is a price-weighted index compared to the other major equity indexes that are market-cap weighted. The companies it tracks are generally known for their stability and ability to weather economic hardships.

There are only two ETFs that track the Dow Jones Industrial Average specifically, but only one is actively managed and offers the potential of generating monthly income while seeking to mitigate volatility: the Nationwide Dow Jones® Risk-Managed Income ETF (NDJI), which utilizes on options collar that aims to reduce volatility and provide a measure of downside protection.

For more news, information, and strategy, visit the Retirement Income Channel.

Loading Articles...
Our Sites
  • VettaFi
  • Advisor Perspectives
  • ETF Trends
Tools
  • ETF Screener
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Database Pro
More Tools
  • Financial Advisor & RIA Center
Explore ETFs
  • ETF News
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Information
  • Contact Us
  • Terms of Use and Privacy Policy
  • © 2023 VettaFi LLC. All rights reserved.

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