The Economist polls a wide variety of economic forecasters to come up with consensus readings on inflation (consumer prices) and GDP growth. Similarly, Bloomberg has sought median forecasts on year-end changes on world currencies. Here’s a quick summation on what the business journalists found: 1. Nearly all consumers in the developed world will see rising prices (a.k.a. inflation), though [...] Continue Reading...
Emerging Market ETFs were some of the top holdings in the arbitrary calendar year of ‘09. However, the New Year brings new concerns, including the fact that ETFs in the “EMs” trade at a premium to Developed Market ETFs. Still, most folks believe that the long-term outperformance trend by emerging markets will continue. And yet… each region has a unique set of [...] Continue Reading...
Legitimate criticism of leveraged ETFs is rapidly fading from the blogosphere. In fact, a number of my peers serve up “champagne-and-caviar-like” praise for Leveraged ETFs. There may be a reason for that… and that reason may be a direct or indirect advertising/financial arrangement. In fact, one wonders why there isn’t a warning label with, “Caution: Commentators receive compensation from Leveraged ETF provider.” There’s nothing [...] Continue Reading...
Water has the potential to develop into one of the hottest commodities on the planet. Population growth, longevity, increased worldwide industrialization – potable water could be a favored investment. By the same token, Water ETFs have been known to be volatile. A sudden government shift in policy could let some air out of a steam-filled bubble. Do you know the risks associated with [...] Continue Reading...
Predictions, Currency ETFs, Bond ETFs, Gold ETFs, Commodity ETFs Click here to listen to the show: 1-17-10 Continue Reading...
There may be 20-22 ETFs yielding 5.0% or more on an annualized basis. And on the surface, 5% via interest or dividend income sounds fantastic. Yet every “pro” may be met with an equally compelling ”con.” For example, 5 of the 20+ income producers come from the land of Global Real Estate ETFs. Has the reflation of assets through worldwide [...] Continue Reading...
September 15, 2008 was to the global financial crisis what October 19, 1987 was to Mondays. Chaos! On 9/15/2008, Lehman Brothers was “allowed” to fail. Simultaneously, B of A and Merrill Lynch “agreed” to merge. Yet on this particular Monday, the world seemed destined for disaster. Less than 1 year-and-a-half later, some ETFs have actually made it “back to black.” Most notably, the [...] Continue Reading...
Banks have been gearing up for earnings season, with financial sector investors giddy about the prospective profits. The SPDR KBW Bank Fund (KBE) has pole-vaulted 10%+ year-to-date (through 1/13/10). Yet President Obama recently announced a new deficit-reduction plan. Specifically, the president proposed taxing the “big banks” $111 billion over 10 years on Thursday, 1/14. That’s the “price tag” for [...] Continue Reading...
Most coal investors did extremely well in 2009. Will world dynamics a la rapidly expanding countries (e.g., China, India and Brazil) continue to push demand for this commodity? If you’re fearful that stock assets are due for a serious correction… If you wonder whether or not rising rates may cremate your bond holdings… If you’re concerned that economic weakness [...] Continue Reading...
Have you heard anything good about Japan lately? Probably not. Its flagship airline, JAL, is headed for bankruptcy. And its currency is still too strong to help the trade-dependent nation significantly boost exports. The U.S., Europe, heck… most of the entire world enjoyed double-digit percentage gains on benchmark indexes. Meanwhile, iShares MSCI Japan (EWJ) was one of the [...] Continue Reading...
