Category

Actively Managed ETFs

Many Catalysts Can Wreck The QE-Inspired Bubble

By | Actively Managed ETFs, Bond ETFs, Current Affairs and ETFs, Dividend ETFs, ETF Philosophy, ETF Strategy, Financial ETFs, Large Cap ETFs, Special Sectors ETFs, US Markets and ETFs | No Comments

Does the stock market care about the after-tax profits generated by corporations? Not in the era of Federal Reserve QE (a.k.a. “quantitative easing,” “balance sheet expansion” or “electronic money printing.”) Over the last five years, stock prices for the S&P 500 have gained more than 50%. Meanwhile, after-tax profits at non-financial companies have actually declined in the period. Is that sustainable? Credit the Fed for its QE-inspired wealth effect. Some believe that the Fed stopped QE when they halted purchases with the…

Read More

Here’s Why You Need To Hedge Your Stock Investments

By | Actively Managed ETFs, Bond ETFs, Commodity ETFs, Currency ETFs, Current Affairs and ETFs, ETF Philosophy, ETF Strategy, Financial ETFs, Large Cap ETFs, Popular Posts, US Markets and ETFs | No Comments

Stock market records have a way of enthralling everyone. However, the stock market is not currently reflecting the economy or the corporate backdrop. For example, one may hear that the job market is strong. Yet job growth and job openings are both fading. One may be told that the consumer is spending. On the other hand, year-over-year retail sales (2.88%) are well below last year (4.58%). In a similar vein, The Bloomberg Consumer Comfort Index fell to a nine-month low…

Read More

3 Ways To Invest In Stocks (Even When The Ride Is Coming To An End)

By | Actively Managed ETFs, Bond ETFs, Consumer ETFs, Current Affairs and ETFs, Dividend ETFs, ETF Philosophy, ETF Strategy, Large Cap ETFs, Popular Posts, Special Sectors ETFs, US Markets and ETFs | No Comments

The U.S. economy is appallingly dependent on the “wealth effect.” And the U.S. Federal Reserve knows it. Just how “easy” is the Fed’s monetary policy? The real Fed Funds Rate (FFR) is at -0.8% right now. The last time the inflation-adjusted FFR was down at -0.8% had been 8-9 months into the Great Recession (10/2008). Before that, the country had been 8-9 months into the 2001 recession (12/2001). Pushing the cost of capital to insanely cheap places used to be…

Read More