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Alt Energy ETFs

“Believe Me, We’re In A Bubble Right Now… A Big, Fat, Ugly Bubble.”

By | Alt Energy ETFs, Bond ETFs, Current Affairs and ETFs, ETF Philosophy, ETF Strategy, Large Cap ETFs, US Markets and ETFs | No Comments

Six trading weeks ago, on September 26, 2016, a famous businessman warned about risk in the investing environment. He declared the following: “Believe me, we’re in a bubble right now. The only thing that looks good right now is the stock market and if you raise interest rates even a little bit, that’s going to come crashing down. We are in a big, fat, ugly bubble.“ Care to take a stab at the prominent voice responsible for the admonition? It was President-elect Donald…

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This Is What Happens When The Fed Tries To Leave ‘QE’

By | Alt Energy ETFs, Biotechnology ETFs, China ETFs, Current Affairs and ETFs, Energy ETFs, ETF Philosophy, ETF Strategy, International ETFs, Large Cap ETFs, Special Sectors ETFs, Technology ETFs, US Markets and ETFs | No Comments

Back on October 29, 2014, the Federal Reserve ended its largest round of quantitative easing (QE3/QE4). The unconventional policy of buying market-based assets with electronically created credits (dollars) first began in late November of 2008. Since that time, $3.75 trillion in stimulus forced interest rates downward and sent stock prices soaring. The S&P 500 moved from 857.39 when QE1 was first announced to 1982.30 when QE3/QE4 ran its course for an approximate gain of 131%. Equally intriguing, when the Fed backed…

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An Energy ETF Resurgence Defies The Naysayers

By | Alt Energy ETFs, Commodity ETFs, Current Affairs and ETFs, Energy ETFs, ETF Philosophy, ETF Strategy, Large Cap ETFs, Natural Resources ETFs, US Markets and ETFs | No Comments

Maybe you do not know who Rex Tillerson is. Maybe you did not realize that Tillerson, a dinosaur in the energy sector, is the chairman and CEO of Exxon Mobil (XOM) – one of the largest corporations on the planet. The company that he runs had been the largest in the world by market capitalization up until mid-2011 – when smartphone madness effectively handed the crown to Apple (APPL). Strangely enough, Exxon (XOM) briefly reclaimed the title in January 2013…

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Selecting The Individual Energy Stocks Over The ETFs

By | Alt Energy ETFs, Current Affairs and ETFs, Energy ETFs, ETF Philosophy, ETF Strategy, Special Sectors ETFs, US Markets and ETFs, Utilities ETFs | No Comments

Talk about doom and gloom. Oil bears are predicting $40 per barrel, even $30 per barrel. Meanwhile, a whole lot of folks are treating the chatter like it is a foregone conclusion. What would need to happen for oil to go from $110 per barrel at the height of Russia-Ukraine tensions down to $30 per barrel and stay there? Oil-producing exporters would need to vow never to cut production… ever. Countries exceptionally dependent on oil revenue (a la Russia) would…

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Are Stocks Really The Only Game In Town?

By | Alt Energy ETFs, Biotechnology ETFs, Bond ETFs, Commodity ETFs, Consumer ETFs, Currency ETFs, Current Affairs and ETFs, Dividend ETFs, ETF Philosophy, ETF Strategy, Europe ETFs, Natural Resources ETFs, Short ETFs, Special Sectors ETFs, US Markets and ETFs | No Comments

Contrarians must be thinking about the sustainability of the year-end stock rally after six weeks of remarkable gains. The most recent AAII Investor Sentiment Survey discovered that a whopping 52 percent of respondents were bullish, far surpassing the long-term trend of 39 percent. Meanwhile, nearly $43 billion of inflows poured into U.S. equity ETFs in the prior month – an amount not seen since December of 2007. In truth, contrarians would not be the only investor type with reason to…

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Three Critical ETF Trends That Require Monitoring

By | Alt Energy ETFs, Asia ETFs, Currency ETFs, Current Affairs and ETFs, Emerging Market ETFs, Energy ETFs, ETF Philosophy, ETF Strategy, International ETFs, Special Sectors ETFs, US Markets and ETFs | No Comments

When influential managers (e.g., large financial institutions, hedge funds, etc.) borrow low-yielding assets to invest in higher-appreciating, higher-yielding ones, they are engaging in a speculative art. What is the nature of the artwork here in 2014? Borrow as much yen and euro at negligible rates as possible to finance the acquisition of U.S. stocks and U.S. government bonds. The “carry trade” works as a mechanism for buying U.S. stocks as long as the U.S. Federal Reserve remains committed to its…

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Is It Over? 3 ETF Signals You May Use For Confirmation

By | Alt Energy ETFs, China ETFs, Commodity ETFs, Emerging Market ETFs, Energy ETFs, ETF Philosophy, ETF Strategy, Special Sectors ETFs, US Markets and ETFs | No Comments

Is the global economic landscape healing? Far from it. Does that typically signal good things for the U.S. stock market? No… but the U.S. Federal Reserve is extremely likely to keep overnight lending rates near zero for years to come. That discourages saving, yet encourages borrowing for the purposes of consumption and investment. Zero percent rate policy also encourages investors to cast aside huge warning signs that might otherwise drag equity prices into a legitimate corrective phase. How powerful is…

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The Barbell Approach To ETF Portfolio Allocation Continues To Shine

By | Alt Energy ETFs, Asia ETFs, Biotechnology ETFs, Bond ETFs, Commodity ETFs, Current Affairs and ETFs, Dividend ETFs, Emerging Market ETFs, ETF Philosophy, ETF Strategy, Europe ETFs, Health ETFs, Large Cap ETFs, Small Cap ETFs, Special Sectors ETFs, Technology ETFs | One Comment

I did not invent the barbell strategy. At the start of the year, I simply offered readers a glimpse into the way that I would be managing ETF assets in the late-stage bull market. First, let me take you back to January when I explained that long-term rates would fall, not rise. The contrarian call had been met with ridicule at the time. Allocate a percentage of portfolio assets to long-term investment grade debt? “Ludicrous!” cried fans of ProShares Ultra-Short…

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Value Versus Momentum: What Should You Buy For Your ETF Portfolio

By | Alt Energy ETFs, Biotechnology ETFs, Bond ETFs, Consumer ETFs, Currency ETFs, Current Affairs and ETFs, Emerging Market ETFs, ETF Philosophy, ETF Strategy, Europe ETFs, Frontier Market ETFs, Global ETFs, International ETFs, US Markets and ETFs | No Comments

In a world of high-frequency trading, central bank rate manipulation and cross-border fund flows, fundamental value often gets pushed to the back burner. Without question, U.S. stocks are very expensive — inordinately overpriced. Nevertheless, most will opt to continue placing their faith and their hard-earned dollars in what they know. Can one pursue reasonably priced equities in regions where the economies are growing at a rapid clip? Guggenheim Frontier Markets (FRN) allows investors to tap Latin America, while Market Vectors…

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Susceptibility 101: ETFs That Are Exceptionally Far From Respective Trendlines

By | Alt Energy ETFs, Biotechnology ETFs, Energy ETFs, ETF Philosophy, ETF Strategy, Health ETFs, Industrial ETFs, Materials ETFs, Special Sectors ETFs, Technology ETFs, US Markets and ETFs | 2 Comments

Are investors cautiously optimistic? Probably. A little bit greedy? Maybe. Yet I would be hard-pressed to describe the current psychology in terms of euphoria. The most apt descriptor is complacency. Keep in mind, geopolitical tensions are rising in the Middle East, Ukraine and off the coastal waters near China. Not surprisingly, gasoline prices have remained stubbornly high with the price of crude holding well above $100 per barrel. Yet none of these troubles have impeded the historic rally for U.S….

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