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DOD

New Highs & Lows November 2nd Edition

by on November 2, 2013

Here is a look at all of the ETFs that have posted new one-year highs and lows over the past trading week. Traders can use this list to find prospective candidates that have deviated too far from their longer-term trends, thereby serving as potential starting points for those looking to take on either short or long positions. [click to continue…]

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ALPS, the firm behind the Equal Sector Weight ETF (EQL), is debuting a new fund that combines aspects of equal sector weighting with high dividend-paying stocks. The new ALPS Sector Dividend Dog ETF (SDOG) will apply the well known “Dogs of the Dow” methodology to a broader index of stocks, drawing its components instead from the S&P 500.

The Dogs of the Dow strategy, popularized in the early 1990s by Michael O’Higgins, is a very simple strategy: it involves picking the ten components of the Dow Jones Industrial Average with the highest dividend yield each year. This strategy is premised on the idea that companies do not alter their dividend to reflect trading conditions, and that therefore the payouts made to shareholders are more indicative of long-term value. Using that logic, it follows that the companies with the highest yield should maintain the greatest price appreciation potential–while simultaneously delivering attractive current returns.  [click to continue…]

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Though value investing never truly went out of style, it has certainly become an increasingly popular strategy over the past few years. Interest in dividend-paying stocks skyrocketed in 2011 as investors sought both safety and yield. Given the lingering risks to a still-fragile global economic, as well as the likelihood of low rates in many […]

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Sometimes the simplest solution is the most effective. That certainly seemed to be the case when it comes to dividend-focused exchange-traded products in 2011. As investors have sought to enhance current return profiles while scaling back the risk of equity investments, the landscape has become cluttered with ETPs targeting stocks of dividend-paying companies. Currently there […]

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The Best Dividend ETFs Aren’t Dividend ETFs At All

by on September 27, 2011 | Updated November 20, 2012

As the ETF industry has expanded rapidly in recent years, the universe of asset classes and investment strategies accessible through the exchange-traded wrapper has increased dramatically. In addition to funds offering exposure to natural resources and volatility–two asset classes previously beyond the reach of many investors–a number of products have popped up that seek to […]

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As the size of the ETF lineup has ballooned to nearly 1,300 products, there has been some criticism over the increased granularity and sophistication that is characteristic of many of the latest additions.  Many of the ETPs that have hit the market over the last few years probably have very little appeal to the vast […]

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For investors looking to generate current returns from the equity portion of their portfolio, there is no shortage of exchange-traded products offering attractive dividend yields in the current environment. From ETFs linked to dividend-weighted indexes to those that focus on companies with stellar distribution histories to simply sector-specific funds in high yield corners of the […]

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DOD vs. DIA: A Better Dow Jones ETF?

by on April 5, 2010 | Updated November 6, 2012

When reporting on the performance of the U.S. stock market, everyone from the Wall Street Journal to local anchormen generally refer to the Dow Jones Industrial Average, one of the oldest and most widely-recognized stock benchmarks. So it’s not surprising that one of the most popular ETFs available to U.S. investors is the Dow Jones […]

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The Problem With Dow ETFs

by on February 2, 2010 | Updated December 8, 2014

The Dow Jones Industrial Average is one of the most widely-followed stock indexes in the world, seen as a barometer of U.S. equity market performance. The rise of the ETF industry has given investors the option to track the performance of this benchmark, and a number of spin-offs have increased ETF options for investing in […]

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