Category

Defense & Aerospace ETFs

ETF Investor Implications Of An Absence In Sector Rotation

By | Biotechnology ETFs, Consumer ETFs, Current Affairs and ETFs, Defense & Aerospace ETFs, ETF Philosophy, ETF Strategy, Financial ETFs, Global ETFs, Health ETFs, Industrial ETFs, Materials ETFs, Natural Resources ETFs, Real Estate ETFs, US Markets and ETFs, Utilities ETFs | No Comments

Over the last month, investors have witnessed a variety of strange events. The Republican party ungracefully bowed out of its bid to derail Obamacare during the tail end of the government shutdown. The Democrat party helplessly attempted to control damage associated with scores of consumers not being able to keep their health plans or their doctors. Meanwhile, employment data have never been more antithetical, as employers created 200,000-plus net new jobs in October, yet 900,000-plus left the work force in…

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Tech and Healthcare ETFs… Are They All That We Have Left?

By | Biotechnology ETFs, Bond ETFs, Current Affairs and ETFs, Defense & Aerospace ETFs, ETF Philosophy, ETF Strategy, Health ETFs, Internet ETFs, Semiconductor ETFs, Technology ETFs, US Markets and ETFs, Utilities ETFs | No Comments

On Monday, 8/19/2013, U.S. stocks logged their first 4-day losing streak of the calendar year. Until recently, the idea of a pullback had begun to seem far-fetched. The S&P 500 SPDR Trust (SPY) had been hitting high after record high with remarkable ease. Now the only “rally talk” is centering on how high longer-term bond yields might climb. The higher the 10-year Treasury yield goes, the lower most market-based securities go. The ugliest falls from grace have occurred in former…

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3 Reasons Irrational Enthusiasm For U.S. Stock ETFs Will Continue

By | Biotechnology ETFs, Current Affairs and ETFs, Defense & Aerospace ETFs, Dividend ETFs, ETF Philosophy, ETF Strategy, Health ETFs, US Markets and ETFs | No Comments

The city of Detroit just filed for the largest municipal bankruptcy in U.S. history. Crude oil is pushing $110 per barrel. Microsoft, eBay, Intel and Google severely disappointed in their Q2 earnings reports. Housing starts dropped to its slowest pace in 10 months. And while it may appear unlikely to market watchers, the Fed may still taper its bond purchasing program earlier than anticipated. Less money for retirees, less consumption due to the gas pump, lower sales by bellwether corporations,…

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How To Play It Safe With Stock ETFs

By | Asia ETFs, Biotechnology ETFs, Consumer ETFs, Current Affairs and ETFs, Defense & Aerospace ETFs, ETF Philosophy, ETF Strategy, Health ETFs, Retail ETFs, US Markets and ETFs | No Comments

Transportation bellwether United Parcel Service (UPS) reduced its full-year profit forecast due to a weak economy. Fast food giant Yum Brands (YUM) experienced declines in earnings as well as revenue. Meanwhile, financial behemoth J.P. Morgan (JPM) managed to cover up waning revenue from mortgages and trading with sleight-of-hand accounting. Yet some folks in the financial media insist that U.S. stocks are soaring on fundamentals. In truth, profitability and sales across major corporations are both flat. They’re decelerating, much like the…

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ETFs for When the Fear of Fed Tapering Subsides

By | Biotechnology ETFs, Consumer ETFs, Current Affairs and ETFs, Defense & Aerospace ETFs, Energy ETFs, ETF Philosophy, ETF Strategy, Health ETFs, Small Cap ETFs, Special Sectors ETFs, US Markets and ETFs | No Comments

The production value of radio commercials can be nearly as comical as the quality of messages that your favorite Aunt posts to Facebook. I should know. I was a national talk radio personality during the rise and fall of the so-called New Economy (circa 1998-2005).  The network created “spots” with minimum wage or unpaid voice-over talent; meanwhile, the entire budget for a 30-second gem was less than the amount of spare change in the program manager’s hip pocket. As a…

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ETFs for the “Third Scenario”

By | Biotechnology ETFs, Consumer ETFs, Current Affairs and ETFs, Defense & Aerospace ETFs, ETF Philosophy, ETF Strategy, Health ETFs, Industrial ETFs, Special Sectors ETFs, US Markets and ETFs | No Comments

In 2013, Mondays have been noticeably superb for U.S. stock investors. Tuesdays have been even more spectacular; in fact, until a few weeks ago, the Dow closed higher on 20 consecutive occasions. However, what began as a siren song of riskless gains back in November could be shifting in pitch and tempo. The Dow has risen or fallen by 100 points or more for 5 straight sessions. What’s more, over the last month, the SPDR Dow Jones Industrials (DIA) has…

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Are Defense Sector ETFs A Post-Sequester Bargain?

By | Current Affairs and ETFs, Defense & Aerospace ETFs, ETF Philosophy, ETF Strategy, US Markets and ETFs | No Comments

The closest thing to bipartisanship in the presidency of Barrack Obama may have come a few weeks ago. Eight prominent Senators — four Democrats and four Republicans — have been crafting an immigration reform bill that many believe could eventually become law. However, finding common ground on economic issues has eluded members of Congress for years. The Senate hasn’t passed a budget since 2009. And with the exception of an eleventh-hour tax rate hike in the fiscal cliff conversations, nearly…

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How ETF Investors Might Get In On Single-Family Rentals

By | Defense & Aerospace ETFs, ETF Philosophy, ETF Strategy, Financial ETFs, Real Estate ETFs, Special Sectors ETFs, US Markets and ETFs | No Comments

The leading measure for residential property, the S&P Case-Shiller Home Price Index, pointed to 4.3% year-over-year gains in the 12 months ending last October. Clearly, prices have stabilized. That said, can consumers genuinely contribute to a longer-lasting real estate recovery? For example, I recently purchased a 2nd property. My credit scores were phenomenal. The loan-to-value (LTV) at 50% was attractive. And Congressional leaders argue over whether or not the taxes that I pay on my income is fair. In other…

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Media Exaggerate Exodus From Junk Bond ETFs

By | Bond ETFs, Current Affairs and ETFs, Defense & Aerospace ETFs, ETF Philosophy, ETF Strategy, US Markets and ETFs | No Comments

In my recent commentary, “An Assault on Yield-Oriented ETFs,” I discussed the reasons why the markets had been punishing income producers as much as capital appreciators. Briefly, tax rate hikes on dividends and distributions may turn out to be more onerous than those for capital gains. Additionally, I encouraged investors who had large cash positions to “get their yield on.” Specifically, I suggested that they recognize a high probability of an eventual fiscal cliff resolution as well as a high…

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Slumping LIBOR Rates Favor Wild-N-Crazy European ETFs

By | Defense & Aerospace ETFs, ETF Philosophy, ETF Strategy, Europe ETFs, Financial ETFs, International ETFs | No Comments

There’s been a great deal of discussion about the NASDAQ’s ability to log an 11-year high this past week. What hasn’t been mentioned, however, is that the tech-heavy composite remains 42.5% below its 12-year high. In fact, the composite would need to pole vault 74% from the current 11-year peak to recover the losses incurred from the bursting of the dot-com balloon in March of 2000. I realize that I am raining on the NASDAQ’s parade, just as the world begins to clamor for IPO…

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