Media ETFs Poised To Benefit From Higher Oil Prices

Disney (DIS) demonstrated the importance of being diversified with your exchange traded funds (ETFs) when it announced its earnings today.

The numbers came in better-than-expected, with a 22% rise in quarterly earnings, reports Gina Keating for Reuters. A weakening economy didn't stop people from visiting the theme parks, and "Enchanted" sold well on DVD and in foreign theaters.

But what about this summer, as fuel prices show no signs of stopping their ascent? The company's theme parks division could be hurt by the rising costs, as people opt to stay home this summer instead of rounding up the family for a trip to the Magic Kingdom. And in past recessions, reports Janet Babin for Marketplace, the cruise lines have suffered as well.

But the company might be able to tough it out, because its largest source of revenue actually comes from ads on its TV network. Disney also is involved in things such as movies, cable channels, network channels and resorts.

In other words, Disney hasn't put all its eggs in one basket, and neither should you. Remaining spread out could protect you if one sector hits a slowdown while another gathers steam. As consumers park themselves on the couch instead of getting behind the wheel, the parks might suffer, but maybe channels such as the Disney Channel and ESPN might benefit.

That could help the media ETF and others that count Disney as a component:

• PowerShares Dynamic Leisure & Entertainment (PEJ): Disney is 5.3%; down 3% year-to-date
• PowerShares Dynamic Media (PBS): Disney is 5.4%; down 2.9% year-to-date
• iShares S&P Global Consumer Discretionary (RXI): Disney is 2.7%; down 4.7% year-to-date

Agriculture, Energy ETFs Soar, But Consumers Lose Confidence

Soaring prices for the basic necessities might be helping your agriculture and energy exchange traded funds (ETFs), but the trade-off is beaten-down consumer confidence.

A research group reported today that consumer sentiment has dropped to a five-year low in its fourth consecutive drop. Wall Street economists had been expecting low numbers, reports Anne D'Innocenzio for the Associated Press. Its previous weakest point was in March 2003, just before the U.S. invasion of Iraq.

Deteriorating confidence is a sign that consumer spending may weaken, which would in turn further hurt the economy. Consumers remain worried about inflation and the toll that rising food and gas prices could take on their wallets. The employment picture looks bleak, as well: the Labor Department is expected to show another loss of 65,000 when its April report is released on Friday.

The director of the Conference Board Consumer Research Center also noted that the number of survey respondents who planned to take a vacation in the next six months has fallen to a 30-year low.

Looks like you'll have to rely on Calgon to take you away instead.

ETFs Aren't Lovin' Good Earnings Numbers from McDonalds, AT&T

Despite positive numbers from both AT&T (T) and McDonald's (MCD), the exchange traded funds (ETFs) that count them as major components seem to be unmoved by the news.

AT&T reported that its first quarter profit was up 22%, mostly because of strong wireless growth, reports Peter Svensson for the Associated Press. Its wireless division added a net 1.3 million subscribers in the quarter.

While AT&T is trading higher midday, ETFs holding the company aren't so far:

• iShares Dow Jones US Telecommunications (IYZ): AT&T is 23.3%, down 18.8% year-to-date
• iShares S&P Global Telecommunications (IXP): AT&T is 17%, down 10.3% year-to-date
• Technology Select Sector SPDR (XLK): AT&T is 9.6%, down 10% year-to-date

Meanwhile, McDonald's also reported first-quarter profit growth of 24% based on strong international sales. Between January and March, it earned 81 cents per share compared with 62 cents per share during the same period last year. Those numbers blew the forecast of 70 cents per share clear out of the water.

The PowerShares Dynamic Food and Beverage (PBJ) fund was slightly lower midday, though. McDonald's is 4.9% of the fund, which is down 1.4% year-to-date. The fast food company is also 5% of the PowerShares Dynamic Leisure & Entertainment (PEJ), which is down 6.6% year-to-date.

Tiffany's Good News Eases the Mean Reds In Retail ETFs

Jewelry purveyor Tiffany & Co. (TIF) put up strong results on Monday, delivering a dose of positivity to retail exchange traded funds (ETFs) and the overall sector. It's was sitting at 7-week highs this morning.

While Tiffany isn't a major holding of any of the retail ETFs, the fact that the company is forecasting earnings to beat analysts' predictions is good news for the sector - diamonds are hardly a consumer staple, despite what the woman in your life tells you.

Tiffany also reported that its fourth-quarter fiscal earnings beat the mean estimate by analysts, says Tomi Kilgore for Thomson Financial.

Retail ETFs that were in green territory intraday:

• Claymore/Robb Report Global Luxury (ROB)
• Retail HOLDRs (RTH)
• SPDR S&P Retail (XRT)
• Consumer Discretionary SPDR (XLY)
• iShares Dow Jones US Consumer Goods (IYK)

Easter Baskets Of ETFs

While you are egg-hunting today, your mind may not be on your exchange traded funds (ETFs). However, you may want to consider how your nest eggs are doing at his point in time. ETFs have yet to break into the 401(k) area of the market completely, so by investing in a broad-based ETF, you could have your bases covered for the long term until something within the retirement industry gives.

ETFs are baskets of stocks that represent a certain sector of the market. For the widest variety of stocks there are plenty of choices, one example being Diamonds Trust Series 1 (DIA). The stocks range from Johnson & Johnson (JNJ) to Boeing Co. (BA), giving your basket the most variety.

And as you enjoy all of those chocolate eggs and bunnies, are you really thinking about exchange traded funds (ETFs)? While every household is likely to consume at least one chocolate bunny, the PowerShares Dynamic Food and Beverage (PBJ) may get a sugar rush, too.

Holdings range from Yum Brands (YUM) to Anheuser Busch (BUD) giving Easter dinner with Auntie and Uncle a chance to kick in, too.

Happy Easter and may you find lots of eggs!

March Madness With ETFs: All Bets Are On

The March Madness Tournament's first round begins today, a possible chance for the media focused exchange traded fund (ETF) to dribble in some earnings.

PowerShares Dynamic Leisure and Entertainment (PEJ) holds 4.89% in CBS (CBS), the leading television network to air these games on mainstream media. CBS is also a major component of the PowerShares Dynamic Media (PBS), with 5% of its holdings. The funds sure could use a jump shot after taking a hit during the writer's strike.

This will be the second year straight that New York, home to basketball legends, will be left out of the competition, and out of all bets. Erik Matuszewski for Bloomberg says the nation's largest media market is once again underrepresented as the first round begins. Before last season, it was 33 years since New York metro schools had been left out of the games, swaying from their history of top-10 college teams.

Nonetheless, there will be talent galore and plenty of suspense for those of you invested in these games. Bryan Armen Graham for Sports Illustrated, maker of the lists of lists, has a primer of key talking points. The first is here, the five most likely first round upsets:

• No. 12 Western Kentucky def. No. 5 Drake: Overlooked middleweight stuns media darling in surprisingly easy result.

• No. 11 Kansas State def. No. 6 USC: B-Easy goes Harold Arceneaux on the Trojans as underseeded 'Cats shut down the Mayo Clinic for good.

• No. 12 Temple def. No. 5 Michigan State: Clash of dynamic backcourts sees North Broad Street buzz-saw avenge '01 Elite Eight loss to Spartans.

• No. 10 St. Mary's def. No. 7 Miami (Fla.): Balanced and versatile Gaels rebound from WCC tourney hiccup by quelling flawed 'Canes.

• No. 11 St. Joe's def. No. 6 Oklahoma: Veteran-heavy Hawks continue late-season surge and postpone Jeff Capel's national coming-out party.

Sports Illustrated and ETFs - It's a Reach, but Stay With Us

It's that time of year again: the Sports Illustrated Swimsuit Issue. What's that have to do with exchange traded funds (ETFs)?

Well, not a whole lot, really. But we're just wondering if the stampede to the newsstands will result in any change of movement in the PowerShares Dynamic Media (PBS) ETF. After all, Time Warner, Inc. (TWX) owns Sports Illustrated, and the company makes up 4.9% of the fund.

Can this year's cover model, Marisa Miller, help send the fund above its 200-day moving average? It's her chance to prove that standing around looking pretty actually does accomplish something.

Writers Strike Could Leave ETF Trailing In Its Wake

The movie and television writers who are striking may return to a workplace that will never be the same again, thus affecting Wall street and exchange traded funds (ETFs).

Michael Cieply for The New York Times reports that over the weekend, Hollywood was overcome with the hope that the writers strike may end soon after a grueling four months. The strike brought most television production to a standstill, postponed studio blockbusters, and put tens of thousands of people out of work.

It appears the major obstacles over compensation for digital media were eliminated over informal talks. Although there are no contracts, the rumor is that both sides are closer to reconciliation. But the result of all this is that the workplace for the writers could be more complicated, less lucrative, involve more imports from foreign television and even more reality programming.

PowerShares Dynamic Leisure and Entertainment (PEJ) may feel the pain as CBS Corp. (CLB) has 4.59% of assets, along with Walt Disney Co. (DIS) at 5.21%. PowerShares Dynamic Media (PBS) might also feel a pinch, as several of its top holdings are affected by the strike: CBS is 5.1%, Disney is 5% and Time Warner (TWX) is 4.9%.

Since the strike began on Nov. 5, PBS is down 11.9% and PEJ has fallen 10%.

Could Fight Spill Over Onto ETFs?

Could a lawsuit against an entertainment and Internet heavyweight hurt a couple exchange traded funds (ETFs)?

Liberty Media (LCAPA) is suing IAC/InteractiveCorp (IACI) Chairman Barry Diller. The company wants to gain control after Diller proposed breaking IAC into five companies. Liberty Media holds 30% of IAC's shares and 62% of its voting power. The company owns the QVC and Starz channels.

The back-and-forth has been going on since last week, report Sophia Pearson and Oliver Staley for Bloomberg. IAC filed on Jan. 23 that Liberty threatened to block the breakup unless the deal was structured to give it control of the new companies. Liberty volleyed back the next day, accusing IAC of trying to dilute their voting power.

Which way this goes remains to be seen, and it's worth keeping an eye on two ETFs that count Liberty Media as top holdings. PowerShares Dynamic Leisure & Entertainment (PEJ), of which Liberty is 5.8%. It's down 8.6% year to date and 15.8% over the last three months. PowerShares Dynamic Media (PBS) contains Liberty as 5.6% of its holdings. The fund is down 7.6% year to date, and 17.9% in the last three months.

Is Love in the Air for Some ETFs?

According to singer/songwriter Jack Johnson, "Cupid only misses sometimes," and according to the analysts and exchange traded fund (ETF) enthusiasts, "Cupid's costs are expected to rise in 2008." Hmmm. I think the other way was better.

The National Retail Federation (NRF) reports that the average consumer is set to spend $122.98, up from $119.67 last year, reports David Goldman for CNN Money.

NRF is calling for nine out of 10 lovebirds to spend the most on significant others or spouses, of the 61% of consumers that will actually celebrate this day. Whether it's candy, jewelry or a night on the town, retail and leisure ETFs could be set for a rally.

• SPDR S&P 500 Reatil (XRT)
• Retail HOLDRs (RTH)
• Powershares Dynamic Leisure And Entertainment (PEJ)
  

Gambling ETF Gives Purest Play on Casinos

One area of the entertainment industry that doesn't appear to be suffering in the wake of the writer's strike and the otherwise tough economic climate is gaming, and the exchange traded fund (ETF) industry is launching funds to cover the sector.

Murray Coleman for Index Universe breaks down the new Market Vectors Gaming (BJK), launched despite poor performance from two rivals: the PowerShares Dynamic Leisure & Entertainment (PEJ) and the FocusShares ISE SINdex (PUF).

Las Vegas remains a draw. The Super Bowl is coming up, and Sin City is a major destination for conventions. So far, there isn't a whole lot of evidence that the recent correction has put a hit on Vegas. For exposure to casinos, BJK is the purest play on the sector.

Game On for New ETF

The Market Vectors Gaming (BJK) exchange traded fund (ETF) sprang out of the gate today on the American Stock Exchange.

The fund tracks an index of 69 companies involved in the global gaming industry, including race tracks, sports and betting operations, online gaming and casinos.

We noted last month that gaming, at least in Las Vegas, appears to be one of those areas that is largely immune from the general economic condition. In fact, in Las Vegas, gambling returns were poised to break some records in 2007.

Another ETF with a gambling component is the FocusShares ISE SINdex (PUF), which launched on Dec. 7.

Director's Deal Could Force Writer's Strike to End and Bring Relief to ETF

Is it showtime for the leisure and entertainment exchange traded fund (ETF)?

Movies and television are escapes that are sorely needed, especially if the markets continue in their current direction. But if the 11-week old writer's strike drags on much longer and threatens the Oscars, the rest of the television season and the 2009 movie season, we're going to be forced to find other means to go into denial for a few hours each day.

A reprieve may be in sight, though. Peter Sanders of the Wall Street Journal reports that the Directors Guild of America has reached a tentative three-year deal with the major Hollywood studios. The deal addresses many of the issues that led to the writer's strike to begin with, including compensation for use of their work on the Internet.

If the deal is approved by the DGA, a fork in the road could appear before the striking writers. On the left, they could feel pressured to forge their own deal and end the strike. On the right, they could wait until June, when the Screen Actors Guild's contract expires. SAG and WGA have so far been closely aligned.

Either way, the strike hasn't been good for the PowerShares Dynamic Leisure & Entertainment (PEJ), which is down 18.2% since the strike began on Nov. 5.

Two New ETFs Will Track Coal and Gaming

The Securities and Exchange Commission (SEC) has cleared the way for two new exchange traded funds (ETFs) from Van Eck. The Market Vectors Coal (KOL), to be launched on the NYSE Arca, and Market Vectors Gaming (BJK), to be launched on the American Stock Exchange.

KOL will track an index of 60 companies involved in the mining or transportation of coal, manufacture of coal mining equipment and the production of clean coal. BJK will follow an index of 69 companies involved in the global gaming industry, including race track, sports and horse betting operations, online gaming and casinos.

The launch dates for these funds have not yet been released.

Despite Economy, Gamblers Still Rolling the Dice in Vegas and ETF May See a Boost

Some days, it seems like there's nothing but bad news about the economy and certain exchange traded funds (ETFs). It's times like that you might just want to get away and forget those troubles. Packing your bags and heading to Las Vegas might be just the ticket.

That's because Vegas seems to be one place that didn't get the memo about the slumping economy, reports Gary Rivlin of the New York Times. In the last few weeks, gambling revenues have been way up and are on pace to break some records this year. This, despite rising energy costs, a slumping housing market and overall fears of a recession.

One factor is the booming Chinese economy: wealthy Asian players are heading to the high roller rooms and risking (and losing) in record numbers. Casinos elsewhere, however, aren't faring so well and revenues are down, blamed primarily on high gas prices.

One way to capitalize on the strength in Vegas is the FocusShares ISE SINdex (PUF), launched on Dec. 7. The index focuses on "vices," such as smoking, drinking and gambling. Vices are often viewed as immune to the general economic conditions. Among PUF's Vegas-related holdings are:

• MGM Mirage (MGM), which owns many of the major hotels on the Strip, including the MGM Grand, Bellagio, Luxor, Mandalay Bay and the Mirage. MGM is 3.2% of the index.
• Bally Technologies (BYI), which has games in several casinos in Las Vegas. BYI is 3.9% of the index.
• Las Vegas Sands (LVS), which owns the Venetian Hotel, one of the world's largest. It's scheduled to add 3,200 new suites in January. LVS is 3% of the index.

Will It Be Hooray for Hollywood and the Entertainment ETF in 2008?

Hollywood is primed to have a miserable 2008, and that doesn't bode well for the leisure and entertainment exchange traded fund (ETF). If this were a movie, it would be marketed as a suspenseful tear-jerker. Think "Panic Room" meets "Beaches."

This summer was a record-breaker for the movie studios, reports Paul R. La Monica at the Media Biz blog on CNNMoney. But this fall, things became sluggish and suddenly whether box-office sales would top last year's $9.2 billion was in doubt.

Box office analyst Jeff Beck predicts there's a decent chance that next year will top 2007, but it's not a done deal. Studios are planning to take more gambles next summer, launching more potential franchises instead of "safer" sequels. Hallelujah!

And don't forget the writer's strike, which is just wrapping up its sixth week. And the Director's Guild of America (DGA) may go on strike next year if they can't reach a deal with the Alliance of Motion Picture & Television Producers (AMPTP). The effects, if any, likely won't be seen at the movies until 2009. Will all of this activity be good or bad for the studios in 2008? One possible effect it could have is with less to watch on TV, people might head to the movies more, especially now that they know the studios aren't planning to bore them with "Pirates of the Caribbean 7."

The PowerShares Dynamic Leisure & Entertainment (PEJ) could feel the effects of Hollywood's actions in 2008. Year-to-date, it's down 10.4%.

FCC's New Rules Make ETF One to Watch

Could the Federal Communications Commission's (FCC) ruling on media ownership impact the exchange traded fund (ETF) that tracks the sector?

The two rules approved on Tuesday are that no company can control more than 30% of the market, and newspapers are allowed to buy radio and television stations in the largest cities, reports Stephen Labaton at the New York Times. The first rule puts some regulation into the industry, and the second rule is meant to give a sorely needed boost to the hurting newspaper industry.

The PowerShares Dynamic Media (PBS) ETF could be affected if the changes stick. The fund is down 10% year to date. Among its holdings are Walt Disney, which owns ABC (DIS, 4.8%) and CBS Corp. (CBS, 4.3%).

Not many people seem very happy about the new rules, and they're almost certainly going to be reviewed by courts in the next few months, so stay tuned.

Holiday Liquor Sales Keep ETFs Lively

The one business sector that could really use a drink during the holiday season is the liquor industry and the exchange traded funds (ETFs) that hold these companies. The six weeks between Thanksgiving and New Years is crunch time for liquor companies. A huge chunk of the industry's yearly revenue is generated during this time, according to Nick Passmore of BusinessWeek. Two factors play a major role: gift-giving and stocking the bar for holiday events.

PowerShares Dynamic Food and Beverage (PBJ) and the new FocusShares SINdex ETF (PUF) include some alcohol companies, such as Molson Coors (TAP) and Diageo (DEO). Lucky for these ETFs, we are now experiencing a golden age of cocktails, and a lot of the growth is driven by this trend.

The Pen is Mightier Than the ETF in Writer's Strike

The WGA writer's strike has been going on for a little more than a month now, and even exchange traded funds (ETFs) aren't safe from the ripple effect that's already being felt across the country.

Since the strike began on November 5, PowerShares Dynamic Leisure & Entertainment (PEJ) has dropped 5.3% and PowerShares Dynamic Media (PBS) lost 8.2%. And if you really haven't been paying attention, you may have already noticed that most networks have stopped airing new episodes of some of your favorite shows, including "The Office," "The Daily Show" and more. Somehow, Carson Daly's return to late night is of no comfort.

What's already happened so far is just the beginning -- the impact will be felt even more next year if the strike isn't resolved soon.

Staffers at various late-night shows have been laid off. Pilot season could be in jeopardy, as could the "upfront" sales period -- the time when networks sell the bulk of their commercial time for the next season. It's kind of hard to do when you don't have any new, scripted shows to air. You'll also begin to notice more reality programming to fill in the gaps. And in 2009, the effect could be felt in movie theaters if nothing is in production next year.

Now what are we supposed to do? Read a book or something?

Media Strike Creates Drama For ETF And Earnings

The writers' strike is going full force and the Hollywood producers haven't materialized for those members of the Writer's Guild. Poor earnings could be ahead for entertainment and media stocks and exchange traded funds (ETFs), especially if this turns out to be a long strike. PowerShares Leisure and Entertainment (PEJ) is already down 5.2% year-to-date.

News Corp. (NWS), owners of Fox network, Fox News Channel, MySpace, The 20th Century Fox movie studios and various newspapers both domestic and abroad on Wednesday reported a 13% decline in earnings from a year ago, reports Seth Sutel for Associated Press. The company is looking to gain from a $5 billion deal in the acquisition of The Wall Street Journal publisher Dow Jones & Co. The acquisition won't close until after Dec. 13, when a shareholder vote is held.

Prospects are not looking good, as Time Warner (TWX) profits fell 53%, and earnings are down  from a year ago, boosted by investment gains and tax benefits, reports Seth Sutel. The company also owns HBO, Warner Bros, CNN and Time Magazine. While PEJ does not hold NWS and TWX, they can be indicative for other companies in the industry, such as top holding CBS Corp. (CBS). The drama of the strike will be the closest to reality TV many will be watching for the time being.

Strike May Not Be So Entertaining for Media ETFs

Tick-tock...tick-tock. The clock has run out on the contract between the Writers' Guild and Hollywood producers and it remains to be seen what impact this will have on entertainment and media-oriented exchange traded funds (ETFs). According to Michael Cieply of the New York Times, a strike could begin as early as Friday.

It's a development that has been nervously anticipated and written about. Viewers will notice the effects almost immediately on soap operas and talk shows, as those shows will either be forced to go into reruns or the hosts will have to ad-lib it. Are Jon Stewart and Stephen Colbert that funny on their own? Our fingers are crossed that the answer is "yes."

The PowerShares Dynamic Leisure & Entertainment (PEJ) could bear the brunt of the fallout if a strike goes on for long. Holdings such as Walt Disney (DIS) and CBS (CBS) will no doubt be affected if movie and non-reality television production slows to a crawl.  PEJ is down 2.5% year-to-date.

The impending strike could provide enough drama to last an entire TV season, so keep an eye on it.

Possible Hollywood Writers' Strike Not a Star for Media ETFs

Entertainment and media-related exchange traded funds (ETFs) could be in trouble if the Hollywood writers' strike goes through as rumors are suggesting. The PowerShares Dynamic Media (PBS) is up 2.9% year-to-date and the PowerShares Dynamic Leisure & Entertainment (PEJ) is up 1.0% year-to-date. If the strike occurs, it could keep their performances low for the year.

The Hollywood networks and studios have been negotiating a new contract with the union that represents TV and film writers who are less than satisfied with the terms. A few of the major issues center around splitting revenues from new media and whether reality shows should be unionized. If union members give the OK, the Writers Guild of America could call a strike as early as Nov. 1, reports Scott Collins for the Los Angeles Times.

That is why TV and movie sets have been scrambling to produce as many shows or film as much as possible lately. In addition, if the strike were to go through, it would mean more reruns and reality shows, which are exempt from the strike because they don't use guild writers. Both of those factors would mean losses for top holdings in PBS and PEJ such as CBS (CBS), DreamWorks Animation (DWA) and Walt Disney (DIS). Maybe we'll be anxiously watching the performance of these ETFs instead of our favorite new shows soon.

Kick Back and Relax with the Leisure & Entertainment ETF

Have you ever wished there was an exchange traded fund (ETF) that likes to have as much fun as you do?

Well, you just might find it in the PowerShares Dynamic Leisure & Entertainment (PEJ) ETF. It likes to gamble, as the MGM Mirage (MGM) is its top holding at 5.2%. PEJ also enjoys traveling: Marriott International (MAR) makes up 5.1% of this ETF, and Expedia (EXPE) comes in at 3.2%. For a more relaxing time, PEJ also likes to check out the latest TV shows and newly-released movies. With 5.0% invested in Walt Disney (DIS) and 5.1% in CBS (CBS), PEJ stays in touch with the TV and film industry. In fact, CBS's new fall TV series, such as "Kid Nation" and "Cane" also could impact this ETF. CBS hopes these newcomers can add some spark to its stale but popular "CSI" and "Survivor" series, according to Rebecca Dana for The Wall Street Journal.

Although PEJ is still below its long-term trend line (200-day moving average), keep an eye on it as you would with one of your favorite TV shows.

Is Glitzy Media ETF on Rise to Stardom?

At a quick glance, it wouldn't seem as if the recent market volatility would affect media stocks and exchange traded funds (ETFs) too much. They seem as if they would behave more like health care or consumer-staples sectors because everyone uses media, right?

While that might be true, in actuality, media stocks and ETFs such as PowerShares Dynamic Media (PBS) have been dramatically affected by the subprime mess and subsequent credit crunch. That's because many media companies have giant loads of credit debt. As credit standards tighten, it could become more difficult for companies to borrow money and more expensive to pay interest on the existing debt, says Paul R. La Monica for CNN Money. Walt Disney (DIS), the fifth largest holding in PBS at 5.0%, is $13.7 billion in debt. Time Warner (TWX), the sixth largest holding at 4.8%, has $36 billion worth of debt. If the credit crunch were to tighten further, it could pull media stocks and their umbrella ETFs down even more.

The good news here is that the downward spiral can't last forever. Historically, once the market volatility reaches its peak, media stocks have shot up quickly, more than making up for their previous losses. Judging by the chart, could the worst be behind us already?

Hungry for a Food & Beverage ETF

The PowerShares Dynamic Food & Beverage (PBJ) exchange traded fund (ETF) seems to be turning around. It broke above its 200-day trend line and is up 5.7% year-to-date. One possible factor in PBJ's performance could be that its top holding Monsanto (MON), which makes up 5.6% of the ETF, is up 30.3% year-to-date. Monsanto supplies agricultural farmers with seeds for their livestock and crops. Perhaps it's no coincidence that the PowerShares DB Agriculture (DBA) ETF has been doing well lately too. Another possible factor contributing to PBJ's rise is Kellogg's (K) recent price increases on its products. Kellogg's is PBJ's second largest holding at 5.1% and is up 10.3% year-to-date.

On a different but equally interesting note, PBJ's third largest holding Sysco (SYY) is down 6.7% year-to-date. Sysco is the largest provider of food-service products in the U.S. Could one of the reasons for its decline be that people aren't eating out as much lately?

A Novel Idea: ETF for Harry Potter

Even if you are busy watching your exchange traded fund (ETF) portfolio, it is possible you have heard about Harry Potter. Harry Potter fans anxiously awaited the release of the final in the seven-book series, Harry Potter And The Deathly Hallows. This comes after the latest Harry Potter movie launch this month, Harry Potter and the Order of the Phoenix.

The Harry Potter series is unlike anything booksellers have seen before, reports Todd Leopold for CNN, with 325 million copies sold worldwide. Publisher, Scholastic, is doing a record 12 million copies in first editions. Many American fans camped out as early as Thursday, in an attempt to grab the first Potter book. Fans in London braved the rain dressed in costume as their favorite characters, also to receive the book ASAP. With all this media frenzy, what's an investor to do?

PowerShares Dynamic Leisure and Entertainment (PEJ) may need a little wizardry to adjust some holdings. Potter related companies could benefit from this mad rush and seem to be missing in PEJ include Amazon (AMZN), Scholastic (SCHL) and Time Warner (TWX).  Whether the magic lasts or not, it seems like ETFs may have missed the boat on this one.

Summertime Travel ETF?

The best season of the year is here and everyone is ready to take their winter clothes off and feel the sun warm their skin. The kids are out of school and now it's time to plan the family summer vacation. With so many travelers around the world at this time, why not a travel exchange traded fund (ETF)? So far, the closest we could find is PowerShares Dynamic Leisure and Entertainment (PEJ), up 5% year-to-date and holds hotels such as Hilton Hotels (HLT) and the all-time favorite, Walt Disney Co. (DIS). McDonald's (MCD) is thrown in there for your eating-on-the-road meals and CBS Corp. (CBS), for the hotel down-time. Other companies that may come to mind while planning a get a way include Expedia (EXPE), Hertz (HTZ), and Priceline (PCLN). 

When you think about going to your destination, you look at different transportation options.  There is the iShares Dow Jones Transportation Average(IYT), but it is comprised of companies such as CSX Corp. (CSX) and FedEx (FDX) - not what you think of as a first class ride to the beach!  IYT is up 13% year-to-date.

So why go through all the hassle of planning and accommodating? Simply put - summer reminds everyone of that kid in us. The carefree days of sunblock, surfwax, bonfires, swimming and long evenings. No worries, no hassles, no office chair, no deadlines. So what if it's only for a few weeks, it's worth it. Have a fun summer!

ETF on Media Bid Ride

This week, News Corp. (NWS) submitted a $5 billion bid for Dow Jones (DJ) - that's a 65% premium - now shareholders are hanging on for the ride, even exchange traded funds (ETFs). Dan Gallagher and Angela Moore of MarketWatch.com report the Bancroft family (they control a majority of the voting shares) are opposed to the bid, so the board of directors is taking no action.  DJ, like other newspaper companies, have a dual-class stock structure that concentrates most voting power in the hands of a controlling family.  These so-called supervoting arrangements prevent a hostile takeover.

PowerShares Dynamic Media (PBS) was up almost 2% on the takeover news and is up just 4% this year. NWS makes up 5.11% of the fund and DJ makes up 2.64%, while Direct TV Group (DTV) makes up 5.1%, and Disney (DIS) holds 5.04%. Stay tuned...

March Madness - A Sports ETF!

There are exchange traded funds (ETFs) that focus on our health, with HealthShares, but what about the sports industry?  Today is the day for semifinals in the NCAA Basketball tournament and I'm sure there are lots of people watching this game - maybe more than watch their ETF portfolio.  With all the money that goes into the sports industry - players, games, souvenirs, broadcasting, spokespeople, etc. - surely there could be an ETF holding all the companies that make up this industry.  Sure there is PowerShares Dynamic Leisure and Entertainment (PEJ), but top holdings include McDonald's (MCD) and Walt Disney (DIS).  The creator of the sports ETF could even break it down for sports fans into basketball, baseball, football, etc.  Go Team!

Super Bowl Sunday And Your ETFs

Many fans feel anguish over Super Bowl Sunday, but as an investor you can rest easier knowing your money and exchange traded funds (ETFs) may reap points. Although it is "just a game" there are so many dynamics involved with this American tradition: half-time entertainment, high-end computer graphics and of course, the advertising. PowerShares Dynamic Media (PBS) exchange traded fund is up 3% year-to-date, with top holdings in Direct TV Group (DTV) 5.05% and CBS Corp (CBS) 4.92%. CBS Corp. charged as much as $2.6 million for a 30-second ad spot during the game.

Amateurs got the first poke at the ad space, with Doritos and Chevrolet holding competition to the public for a chance to make an advertisement. Entertainment ETF PowerShares Dynamic Leisure and Entertainment (PEJ) is up 1% this year, and holds, among others, McDonald's (MCD) 5.06% and CBS Corp (CBS) 4.96%. So even if your team didn't win, maybe your money did.

Say "Happy New Year" To Your ETFs

It's time to wrap up another year and that also means thinking about your exchange traded funds (ETFs) and investments. PowerShares Dynamic Food and Beverage (PBJ) is up 1.0% this month, so why not contribute by raising your glass this holiday? Or your champagne flute? Kelli B. Grant of  SmartMoney.com has some tasteful tips on selecting and tasting the luxurious wine. So whether you're celebrating with a Prestige cuvee or Vintage variety, maybe with more champagne purchases, PBJ will get a year-end rally. Happy Holidays!

Leisure ETF (PEJ) Emerging Opportunity

Murray Coleman of Investors Business Daily looks at an opportunity with a growth exchange traded fund, PowerShares Dynamic Leisure & Entertainment (PEJ).  The long-term outlook is appealing because as American's age and retire, they will have more time for entertainment.

PEJ is up 5% over the past month.  Top holdings include McDonald's Corp. (MCD), International Game Technology (IGT), Starbucks Corp. (SBUX) and Marriott International Inc. (MAR).  The weighted average of the ETF holdings is mid-cap growth oriented.