Well, that was fast…another year has come and gone. While a new year is upon us, and as an exchange traded fund (ETF) investor, do you have a plan for getting back into the markets and navigating this year?
Well, if you plan on winning the mega million lotto or not, you are still probably going to want to invest in ETFs in 2011. Strong sales have pushed the Mega Millions jackpot for Friday night – New Year’s Eve – to $242 million, so stay tuned, reportsKY3 News.
But on another note, the end of 2010 and the beginning of 2011 is a big transition, and investors need to be ready to get back into the markets if they have been on the sidelines. And if you are invested in the market, it is time to re-evaluate your strategy and fine-tune your stop losses and exit strategies. After all, your chances of winning the lottery are slim. [An ETF Trend Following Plan For All Seasons.]
As the ETF industry continues to gain momentum, the trends that have developed in asset classes, sectors and global regions are all accessible with a targeted ETF to invest in them. This year, active management could be one of the hot areas to watch because some big names could potentially be seeing some funds launch. Retirement and the 401(k) industry is another area that is set to track major growth as investors continue to see the benefits of ETF investing. [What Tulips Or Truffles Have to Do With ETFs.]
For a more in-depth view on trend following, check out The ETF Trend Following Playbook. For an ETF education refresher, stop by our Education Central page for dozens of informative articles.
Make it a point to solidify your trend following plans for the new year. As always, have a safe and Happy New Year!
Tisha Guerrero contributed to this article.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.