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The lackluster earnings season and ongoing economic weakness have caused exchange traded fund investors to shift away from riskier equity markets into more conservative, safe-haven assets. According to EPFR data, investors redeemed over $10 billion from U.S. equity funds in the week ended February 4, the fifth constitutive week funds have recorded an outflow, reports […]

The beleaguered Brazilian has suffered from a multi-year retreat, and the selling pressure has been overdone, potentially opening an opportunity for emerging market exchange traded fund investors. The iShares MSCI Brazil Capped ETF (NYSEArca: EWZ) has declined 39.9% over the past year and showed an average -26.3% annualized return over the past three years. The […]

With oil prices stubbornly hovering near their 13-year lows, some oil exchange traded fund investors may be tempted to catch the falling knife. However, fundamentals won’t likely support the energy market any time soon. Over the past year, the United States Oil Fund (NYSEArca: USO), which tracks West Texas Intermediate crude oil futures, plunged 50.1% […]

While U.S. equities are being dragged down by a lackluster earnings season and a weakening outlook, Indonesia’s stocks and country-specific exchange traded funds strengthened Friday on an expanding economy. On Friday, the iShares Indonesia Investable Market Index Fund ETF (NYSEarca: EIDO) gained 2.3% and Market Vectors Indonesia Index ETF (NYSEarca: IDX) rose 2.0%. Both EIDO and […]

After announcing a dismal forward guidance, LinkedIn (NYSE: LNKD) shares plunged, and the carnage is rippling through technology sector-related exchange traded funds. LinkedIn stock declined 42.5% Friday, erasing $10 billion of its market capitalization after providing a worse-than-expected first quarter outlook, reports Everett Rosenfeld for CNBC. The social media company anticipates revenue of $820 million […]

I do the “ETF of the Week” for MarketWatch every week on Chuck Jaffe’s MoneyLife Show where I highlight big movers and disappointments among exchange traded funds. This week, I looked at the Deutsche X-trackers MSCI Japan Hedged Equity ETF (NYSEArca: DBJP). The Bank of Japan has revealed that it will use whatever monetary policy […]

In an attempt to obviate another August 24 mini-flash crash in exchange traded funds, the New York Stock Exchange wants to make some structural changes and eliminate the so-called Rule 48 that came under fire during the market volatility. According to a spokesperson, the NYSE is seeking to shelve Rule 48, which would allows market […]

When investing in overseas markets, some investors have turned to both international stocks and a currency-hedged strategy to even out foreign exchange fluctuations. Alternatively, people can look to partial currency-hedged exchange traded funds to help diminish currency risks, especially as the U.S. dollar experiences short-term volatility. “Investors are being whipsawed by gyrations in the currency […]

Gold bullion and precious metal-related exchange traded funds have regained their luster this year, and hard asset may continue to shine as safe-haven demand and central bank inaction help attract investors. ETF Trends publisher Tom Lydon recently appeared on CNBC’s Futures Now to talk the recent surge in interest for gold assets. For instance, the […]

While the economy languishes, mining stocks and sector-related exchange traded funds are flourishing and are experiencing their best rally since the financial downturn. Leading the charge on Thursday, the iShares MSCI Global Silver Miners ETF (NYSEArca: SLVP) bounced 7.8% higher, Global X Copper Miners ETF (NYSEArca: COPX) jumped 6.3% and Market Vectors Gold Miners ETF […]

Transportation sector-related exchange traded funds gained momentum Thursday as low energy costs may be boosting the industry’s bottom line and fright traffic accelerates. On Thursday, the iShares Transportation Average ETF (NYSEArca: IYT) gained 2.6% and the SPDR S&P Transportation ETF (NYSEArca: XTN) rose 3.6%. In the transport space, Roadrunner Transportation Systems (NYSE: RRTS) raced ahead […]

Most actively managed open-end funds have underperformed their benchmarks over the long haul. Alternatively, investors may be better off in cheap passive, index-based exchange traded funds. “In the long run, active funds underperform their passive counterparts due to higher fees and trading costs,” Tim Strauts, Senior Markets Research Analyst at Morningstar, said. Over the one-, […]

Health care investors can now target a growing segment of the pharmaceutical industry through a relatively new generics drug exchange traded fund. The Market Vectors Generic Drugs ETF (NasdaqGM: GNRX) tries to reflect the performance of the Global Generics & New Pharma Index, which tracks a number of global drug makers that generate significant revenue […]

As volatility spikes and markets gyrate, some investors have turned to more conservative stocks and defensive sector exchange traded funds to ride out the storm. For instance, many have traditionally turned to defensive sectors like utilities, consumer staples and health care – sectors that would hold up in any economic cycle as U.S. consumers will […]

The U.S. dollar plunged Wednesday, with a greenback-related exchange traded fund dipping below its long-term trend line, as the worsening economic outlook and ongoing volatility added to skepticism that the Federal Reserve would pull the trigger on another rate hike anytime soon. The PowerShares DB U.S. Dollar Index Bullish Fund (NYSEArca: UUP) fell 2.0% Wednesday, […]

Metals and mining stocks, along with sector-related exchange traded funds, rallied Wednesday on the depreciating U.S. dollar and speculation that the Federal Reserve would not be able to further tighten rates on a weakening economy The SPDR Gold Shares (NYSEArca: GLD), the world’s largest gold-backed exchange traded product, rose 1.0% Wednesday and broke back above […]

Smart-beta strategies that try to deliver enhanced returns or diminish market risks through alternative indexing methodologies have been the hot-button topic in the exchange traded fund industry. For instance, at the recent Inside ETF Conference, smart-beta ETFs were center stage, with analysts and industry experts pouring over the investment styles and fund sponsors promoting new […]

After the worst month of a new year since 2009 and an earnings recession, economic growth could support the equities market and stock exchange traded funds ahead. Year-to-date, the SPDR S&P 500 ETF (NYSEArca: SPY), iShares Core S&P 500 ETF (NYSEArca: IVV) and Vanguard 500 Index (NYSEArca: VOO) have lost about 5.0%. Dragging on U.S. […]

As markets turned lower in January, the Bank of Japan has been buying the dips with Japan-listed stock exchange traded funds. According to the Japan Exchange Group, combined January trading of all ETFs was at a record ¥7.94 trillion, or 100% increase for the same period year-over year and a 53.4% month-on-month increase, reports Leo […]

As energy prices plunge and oil majors tighten their belts, oil equipment and services exchange traded funds will take the brunt of the blow in the beleaguered sector. On Tuesday, the Market Vectors Oil Service ETF (NYSEArca: OIH) fell 4.0%, iShares U.S. Oil Equipment & Services ETF (NYSEArca: IEZ) declined 3.8%, SPDR Oil & Gas […]

With the equities markets experiencing one of their worst stumbles in years, exchange traded fund investors may turn to low-volatility strategies that could help hedge the risks and diminish a portfolio’s swings. “Low volatility is one of the few factors that have historically performed well in turbulent markets,” according to a MSCI research note, Constructing […]

Despite an upbeat earnings season and low exposure to the current round of economic risks, U.S. bank stocks and sector-related exchange traded funds have underperformed, potentially opening up a buying opportunity for value investors. Year-to-date, the SPDR S&P Regional Banking ETF (NYSEArca: KRE) fell 12.6%, iShares U.S. Regional Banks ETF (NYSEArca: IAT) dropped 10.9% and […]

Institutional investors may contribute to the exchange traded fund industry’s next growth spurt as large traders look to the cheap, easy-to-use investment vehicle to address volatility concerns and insource more assets. Institutions have historically favored active management, but institutional investors are have been increasingly turning to smart-beta or factor-based ETFs, Todd Rosenbluth, S&P Capital IQ […]

Cocoa-related exchange traded notes surged Monday as the El Nino phenomenon fueled abnormal weather patterns across the globe and added to crop concerns in top cocoa growers across the Ivory Coast. On Monday, the iPath Bloomberg Cocoa Subindex Total Return ETN (NYSEArca: NIB) gained 3.8% and iPath Pure Beta Cocoa ETN (NYSEArca: CHOC) rose 3.3% […]

Spring is quickly upon us, and natural gas exchange traded fund traders are already anticipating warmer weather and lower heating demand ahead. On Monday, the United States Natural Gas Fund (NYSEArca: UNG) declined 6.8% and the iPath Bloomberg Natural Gas Subindex Total Return ETN (NYSEArca: GAZ) dropped 5.6%. Nymex natural gas futures decreased 6.3% Monday […]

China’s manufacturing sector slowed for the sixth consecutive month and contracted at its fastest pace in over three years, dragging on Chinese stock exchange traded funds and reversing a rebound in oil markets. China A-shares ETFs that track mainland Chinese stocks traded in Shanghai and Shenzhen retreated Monday, with the Deutsche X-trackers Harvest CSI 300 […]

Investors who still want their foot in the market but are wary of volatility weighing on their portfolios can turn to low-volatility exchange traded fund strategies that could generate more attractive risk-adjusted returns. For instance, investors can utilize something like the iShares MSCI USA Minimum Volatility ETF (NYSEArca: USMV), which selects stocks based on variances […]

U.S. equities and stock exchange traded funds experienced their roughest start to a new year but ended the month on a lighter note after the Bank of Japan surprised markets with an aggressive policy move. Year-to-date, the Dow Jones Industrial Average fell 5.7%, the Nasdaq Composite dropped 6.0% and the S&P 500 retreated 4.9%. The […]

As Japan steers toward a negative rate environment, Treasury bond exchange traded funds bounced, with benchmark yields dipping to nine-month lows, on increased demand for U.S. dollar-denominated assets. The iShares 7-10 Year Treasury Bond ETF (NYSEArca: IEF), which has a 7.57 year effective duration and a 1.86% 30-day SEC yield, was up 0.4% Friday. The […]

The Bank of Japan unexpectedly implemented negative interest rates Friday in response to the volatile global markets that has added to its ongoing deflationary risks, bolstering Japan country-specific exchange traded funds and pulling the rug from under the yen currency. The iShares MSCI Japan ETF (NYSEArca: EWJ), the largest Japan-related ETF, was 1.8% higher Friday. […]