ETFs

Consider the risk as well as the potential return when determining whether to invest in stocks or an ETF. When there is a broad dispersion of returns from the mean, stock-picking has an advantage over ETFs. And, with stock-picking, you can use your understanding of the industry or the stock to gain an advantage. In […]

International investment is a good method to diversify your stock portfolio. While international ETFs have trailed behind US markets in terms of returns, they offer diversification benefits because they are less connected with US equities. Should I invest in international exchange-traded funds (ETFs)? Adding overseas equities, stock exchange-traded funds (ETFs), or international mutual funds to

Many of the same advantages of a conventional ETF apply to inverse ETFs, including ease of use, lower fees, and tax advantages. The advantages of inverse ETFs come from the additional options for placing negative wagers. Short selling assets is not possible for everyone who does not have access to a trading or brokerage account.

Investors can profit from a falling market without having to short any securities using inverse ETFs. Speculative traders and investors looking for tactical day trades against their respective underlying indices might look at inverse ETFs. An inverse ETF that tracks the inverse performance of the Standard & Poor’s 500 Index, for example, would lose 1%

Compounding isn’t always a bad thing for a mutual fund’s performance. Let’s say a double-leveraged fund increases by 10% three days in a row. It would yield a 33.1 percent return. If the index increased 5% on each of those days, the leveraged three-day return would be more than double the index’s 15.8 percent return.

Many investors use gold ETFs to hedge against economic and political upheavals, as well as currency debasement, because they have some of the same defensive-asset-class characteristics as bonds. When the dollar is weak, gold tends to appreciate, so if you have assets in your portfolio that are vulnerable to the currency’s decline, buying a gold

If you’re searching for a way to diversify your portfolio, gold could be a good option. You can buy a gold ETF with one trade and reduce your downside risk, as gold tends to climb in value as the dollar falls in value. Gold ETFs can also be used as a hedge against downside risk

Have you considered reducing your gold consumption? It’s important to remember that this is not an investment. Gold (and other precious metals) are classified by the IRS as collectibles rather than investments. If held for less than a year, gains from collections and investments are taxed as regular income. When the two are kept for

Consider the risk as well as the potential return when determining whether to invest in stocks or an ETF. When there is a broad dispersion of returns from the mean, stock-picking has an advantage over ETFs. And, with stock-picking, you can use your understanding of the industry or the stock to gain an advantage. In

The gold market is now bullish, and now is a wonderful time to invest in ETFs since you may profit as prices climb steadily every day. Here are some pointers to consider if you want to invest in gold ETFs: If you want to invest big amounts of money or trade frequently, gold ETFs are