“Additional exposure to energy prices in one’s portfolio could also serve as a good way to potentially hedge against the negative effects of geopolitical risk,” Gurwitz advised. “At present our preferred way of doing this would be to overweight oil producers in an equity portfolio. This is a stock market sector about which we are optimistic, in any case.”
Some energy sector ETF options include:
- SPDR Energy Select Sector Fund ETF (NYSEArca: XLE)
- Vanguard Energy Sector ETF (NYSEArca: VDE)
- iShares S&P Global Energy Index Fund ETF (NYSEArca: IXC)
- iShares Dow Jones U.S. Energy Sector Fund ETF (NYSEArca: IYE)
SPDR Energy Select Sector Fund ETF
For more information on the region, visit our Middle East Category.
Max Chen contributed to this article.