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OEF Forum Topics
- All Comments on OEF
- General Discussion on OEF
- ETF Update: Large Cap ETFs, Euro Inflation, ETFs Above 200-Day Average [view article]
- Exchange-Traded Funds and Closed-End Funds by Asset Class, Type and Provider [view article]
- Fundamentally Weighted ETFs: Mixed Performance in '07 [view article]
- Almost All U.S. Index ETFs Now in Oversold Territory [view article]
- 30 ETFs With the Highest Short Interest Ratios [view article]
- Choosing the Best Large Cap ETF For Your Money [view article]
- Risk-Return Balance Across iShares ETFs [view article]
- 2Q and YTD ETF Performance Review: Large Cap, Growth Funds Lead the Way [view article]
- Many ETFs, Few Investment Opportunities: 127 Investable Funds [view article]
- Closed-End Yield Funds: BQY > OEF + DOL ? [view article]
Recent OEF Articles
- ETF Update: Large Cap ETFs, Euro Inflation, ETFs Above 200-Day Average
- ETF Watch (Week Ending April 4)
- ETF Fund Flows (Week Ending 2/29/08)
- ETF Fund Flows (Week Ending 2/8/08)
- Fundamentally Weighted ETFs: Mixed Performance in '07
- ETF Fund Flows (Week Ending 1/25/08)
- Almost All U.S. Index ETFs Now in Oversold Territory
- ETF Portfolios: Beyond Expense Ratios
- 30 ETFs With the Highest Short Interest Ratios
- Bill Miller: Leadership Will Shift to U.S. Large Cap Financials, Consumers
- Full List of Articles »
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ETF Update: Large Cap ETFs, Euro Inflation, ETFs Above 200-Day Average [view article]
The author suggests (mistakenly) that bond yields should exceed 'equity' yields. However, his suggestion relies on recent history only. Prior to the last great bull market [beginning in 1981] yields on stocks were higher than bonds because they were not guaranteed and to attract investors to the higher risk of stocks. Perhaps investors are starting to realize that today, and therefore are demanding greater income from stocks because they have and will continue to dilute shareholder stakes by new issues and cut or eliminate dividends without warning. ReplyExchange-Traded Funds and Closed-End Funds by Asset Class, Type and Provider [view article]
can you please update this list? thanks. ReplyEditors
General Discussion on OEF
Is this a buy or a sell? ReplyFundamentally Weighted ETFs: Mixed Performance in '07 [view article]
I think it is time to see through the veil of what a cap-weighted index really is……a glorified momentum index. WAIT! That is comment is sacrilegious! Defend yourself!Okay, one only needs to look at the sector mix of an index to see the change in market weight caused by the momentum effect. As an example, In December of 2002 the E-Trade Russell 2000 Index Fund composition was approximately 70% small-cap value/ 30% small–cap growth. Three years later (December 2006) the index was approximately 20% small-cap value/ 80% small–cap growth. Imagine trying to beat the small-cap index as a small-cap value manager during those three years!
Let’s take it a step further; pretend you were a small-cap growth manager during this booming three year run. Your track record looks good as you capitalized on this momentum and you soundly beat the small-cap index. On the wings of good fortune you get hired by the institutions and investors. Then the enviable happens, the sector rotates back to small-cap value (and/or some other asset class) and your performance drops and you fall out of favor.
In this example its evident indexing small-cap stocks using a cap-weighted approach capitalizes on the change in momentum while fundamental indexing would have given a more accurate description of how the small-cap securities actually performed.
I don’t have enough data points to judge weather fundamental indexing is better or worse than cap-weighting indexing but I do believe the momentum effect may favor cap-weighting, albeit with more volatility. So the trade-off of risk-adjusted returns is open for debate. What is clear to me is that cap-weighting is nothing more than a momentum strategy masked in the guise of a passive strategy. I’m sure if this were a chat log I’d burn in flames! I applaud Rob Arnott’s work on fundamental indexing and appreciate anyone challenging the norms of convention wisdom.
Reply
Fundamentally Weighted ETFs: Mixed Performance in '07 [view article]
Yeah, goos stuff. I am a staunch Wisdomtree supporter and ETF owner. I experienced the brunt of the underperformance. For now, I am giving the beenfit of the doubt to the strategy. There needs to be a much larger sample than one year. The backtesting of the funds shows a much different story.That being said, last years underperfomance was very diappointing to me. I walked through my doubt and fear and actually accumulated more.
I am a holder of DHS, EZY, DPN, DND, DGS and the WSDT tree stock itself. My positions are long term, I am a buy and hold investor. Reply
Almost All U.S. Index ETFs Now in Oversold Territory [view article]
So anything 1 SD below its 50 day MA is oversold and due to rise? By that standard, I'll bet there were a ton of screaming good buys in late 2001. What goes down may go up, but not necessarily immediately. Sometimes what goes down keeps going down, for good reason.. Replycom
Almost All U.S. Index ETFs Now in Oversold Territory [view article]
Can you please explain the flag system. I am sure it is simple,but I can't seem to figure what is undervalued. ReplyMcClatchy
at
ETFzone.com
30 ETFs With the Highest Short Interest Ratios [view article]
The Bespoke commentary is founded on a fundamental misunderstanding of what ETFs are - and are not. With stocks high short interest or percentage of outstanding shares held short reveals potential for a snap rise if all at once the shorters have to cover their positions by buying back their stock. The ratio is meaningful in a stock where the shares in question are all there are. The ratio is not meaningful in a typical ETF where the shorts only represent a tiny amount of the underlying stocks (the index) in question.will@etfzone.com
Reply
Choosing the Best Large Cap ETF For Your Money [view article]
"The larger the companies in your index, the better performance you are likely to see. That's why I am giving more weight in my portfolios to the iShares S&P 100 (OEF). It may not be the winner for the next 5 years, but history is on the side of change."Don't you mean "It may not be the winner for the LAST 5 years", not the next 5 years! Reply
Exchange-Traded Funds and Closed-End Funds by Asset Class, Type and Provider [view article]
Are there any EFT funds that are purelt composed of vietnam companies? lasmatas@yahoo.com ReplyOkkerse -
CEO
OK-Rating
Inst.
Risk-Return Balance Across iShares ETFs [view article]
I am obliged by this amount of work and surprised by its result.During my investigations within the total ETF's of Dutch AEX index the following could be ascertained :
During eight years the annual and preselected stocks of that AEX delivered together a Bèta of 0,62 and an Alpha of >9%
Reply
com
2Q and YTD ETF Performance Review: Large Cap, Growth Funds Lead the Way [view article]
Do you include Powershares in your comparisons ever? ReplyMany ETFs, Few Investment Opportunities: 127 Investable Funds [view article]
Richard,Your post is a nifty piece of work, and very helpful as I am currently reconstructing our portfolio (who isn't?). Many thanks, it is much appreciated. Incidentally, I had no problems saving the jpg files in the enlarged format as of 10:00 am asia pac time (10 pm EST). Best Regards,
Gary Davis Reply
Many ETFs, Few Investment Opportunities: 127 Investable Funds [view article]
roncohen,Actually the clickable images are 560 pixels wide. Some browsers reduce large images (they are quite tall) and if you put your mouse over certain parts of the image you get an enlargement icon that allows you to see them it full. They are actually quite large and easy to read.
Richard Reply
Many ETFs, Few Investment Opportunities: 127 Investable Funds [view article]
IN LARGER SIZE;roncohen@davtv.com
Thank you! Reply