With markets chasing all-time highs, perhaps a different approach to your asset allocation is in order. But how can you find areas of value and real opportunities to generate alpha for your clients?
In the upcoming webcast, Why Sector and Factor Rotation May Solve Today’s Market Puzzle, Matthew Bartolini, head of SPDR® Americas research at State Street Global Advisors; Grant Engelbart, senior portfolio manager at Brinker Capital Investments; and Michael Paciotti, CIO of Integrated Capital Management, will highlight several unique approaches for these unprecedented markets. Tune in to hear from expert portfolio strategists who can help build portfolios that make a real difference.
For example, State Street Global Advisors offers a suite of widely observed S&P 500 sector ETFs, including:
- Communication Services Select Sector SPDR Fund (NYSEArca: XLC)
- Consumer Discretionary Select Sector SPDR Fund (NYSEArca: XLY)
- Consumer Staples Select Sector SPDR Fund (NYSEArca: XLP)
- Energy Select Sector SPDR Fund (NYSEArca: XLE)
- Financial Select Sector SPDR Fund (NYSEArca: XLF)
- Health Care Select Sector SPDR Fund (NYSEArca: XLV)
- Industrial Select Sector SPDR Fund (NYSEArca: XLI)
- Materials Select Sector SPDR Fund (NYSEArca: XLB)
- Real Estate Select Sector SPDR Fund (NYSEArca: XLRE)
- Technology Select Sector SPDR Fund (NYSEArca: XLK)
- Utilities Select Sector SPDR Fund (NYSEArca: XLU)
Incorporating sector-based investment strategies can help investors align and adjust their investment portfolios based on macroeconomic or thematic trends, such as the increased adoption of clean energy and declining interest rates, shifts in stock fundamentals, or technical indicators, such as momentum.
Investors can also look to factor-based ETF strategies to diversify their portfolios. Options like the SPDR S&P Dividend ETF (NYSEArca: SDY), the SPDR MSCI USA StrategicFactors ETF (NYSEArca: QUS), the SPDR MSCI EAFE StrategicFactors ETF (NYSEArca: QEFA), and the SPDR SSGA US Large Cap Low Volatility ETF (LGLV) can help investors remain invested and limit downside risks. Rather than rebalancing to cash or allocating just to beta, these strategies that range the volatility spectrum can help limit the impact of volatility while pursuing returns.
Financial advisors who are interested in learning more about sector and factor investment strategies can register for the Thursday, October 28 webcast here.