IBM has $33 billion in debt and would not be able to cover its payout if not for selling corporate bonds, according to the Morning News.
On the other hand, A-rated stocks show strong balance sheets, sold cash flow, sustainable buybacks and dividends, and gross profit and EBITDA margins are rising.
Del Vecchio anticipates FLAG will see higher turnovers, up to 30% annually, due to changes in F-rated stocks, but it is still lower many actively managed ETFs. [A Look at the Forensic Accounting ETF]
FLAG holds an array of familiar stocks, including Warren Buffett’s Berkshire Hathaway (NYSE: BRK-B), Bank of America (NYSE: BAC), Caterpillar (NYSE: CAT), eBay (NasdaqGS: EBAY), Intel (NasdaqGS: INTC) and Microsoft (NasdaqGS: MSFT).
Forensic Accounting ETF