by Leslie N. Masonson, MBA This is the third part of a series on ETF Momentum investing with the last two articles published on this blog on November 11 and 18, respectively. The first article was an introduction to ETF momentum investing, while the second article provided ETF multi-year performance over four time periods. [...]
by Leslie N. Masonson, MBA The previous article provided an introduction to momentum investing. The key question on investors’ minds is how well have momentum ETFs performed since their inception, compared to common benchmarks. Initially, a handful of these ETF came to market in 2005-2006, and then many more joined the category. I used [...]
by Leslie N. Masonson, MBA Investors and traders are always on the lookout for an edge that can provide market beating returns over specific 3- to 12- month periods, the most common length of market momentum, before the trend reverses. That has always been and will always be a challenge that is difficult to [...]
by Leslie N. Masonson, MBA Last week’s article focused on the basics of thematic ETF investing with a data table of the earliest providers of that ETF category. The two questions to be answered in this article are: Are any of these 246 ETFs worthwhile to invest in? If so, what allocation should be [...]
by Leslie N. Masonson, MBA About 15 years ago, forward-thinking institutions and pension funds were exploring groundbreaking, long-term strategies to enhance their global returns. They delved into ETF thematic investing and some firms dove in head first to capture assets from interested investors. The world of Exchange-Traded Funds (ETFs) investing is no stranger to [...]
by Leslie N. Masonson, MBA Last week, I reviewed leveraged bullish ETFs. Now, I’ll focus on the polar opposite – bearish leveraged (inverse) equity ETFs. In total, there are 162 equity leveraged ETFs valued at $71.6 billion with an average expense ratio of 1.02%. As a subset, inverse leveraged equity ETFs account for 67 [...]
by Leslie N. Masonson, MBA In 2006, a handful of equity leveraged ETFs came to market. And over the years the number has expanded to the current 154 with assets under management of $70.3 billion with an average expense ratio of 1.03%. They come with various levels of leverage from 1.5, 2 and 3 [...]
by Leslie N. Masonson, MBA Currently, out of the 3,278 ETFs available, just over 800 are actively managed, while the rest are passively managed. However, the assets under management (AUM) for the latter make up only 6% of all ETF assets. The availability of actively managed ETFs didn't occur until a handful of them [...]
by Leslie N. Masonson, MBA Last week’s Part 1 September 30 article provided background on Fidelity’s select sector mutual fund since its 1981 inception, as well as State Street Global Advisors’ (SSgA) ETF sector funds introduction in 1998. The listing of Fidelity and SSgA sectors with their tickers were provided. This article will cover [...]
by Leslie N. Masonson, MBA Sector rotation is the practice of ascertaining and purchasing market sectors that hopefully will produce market-beating returns. The problem is sectors fall in and out of favor, similar to the changing cycles in small-caps, mid-caps, and large-caps where their dominance ebbs and flows, for months or years at a [...]
