iShares Russell 2000 Index (ETF)
During the past month, some have scoffed at the Sell in May indicator. Equity markets have rallied sharply in May with the S&P 500 Index ETF (SPY) increasing by nearly 3.5%. But, before you abandon the age old Wall Street adage, you may want to keep the following in mind.
First, just because markets moved higher in May doesn't mean they'll necessarily go higher in June more »
Exchange-traded funds have gained popularity for a variety of reasons. One feature that may assist the average investor in seeking investment opportunities is the daily transparency of the holdings. Observing the passive index following style empowers the investor to get a sense of what the exchange-traded fund will buy. These two elements may help uncover what stocks are being purchased by these funds.
An investor may also choose to acquire more »
There has been enormous hype this year regarding dividend stocks and with good reason. Dividend paying stocks tend to outperform the S&P 500 by about a 1-2% over long holding periods. With dividend yields on many blue-chips well beyond their respective bond yields, many have started to consider moving away from investment grade bonds in favor of their equity equivalents. This is likely a prudent move for those that more »
Investors are constantly looking for ten baggers in the latest trends, like 3D printing, an aging population, and the Chinese growth miracle. Without looking at the big picture it is easy to ignore the possibility that stocks as an asset class are overvalued.
Corporate profits after tax are at super high levels. This is not a simple anomaly from the latest quarterly earnings, but a substantial change over the past more »
There is little debate to the notion that Europe is in a recession, especially if one tiptoes outside Germany. The Markit Eurozone PMI Flash Index was 46.0 in June and has remained below the contraction/expansion line of 50 in nine of the last ten months. That is persistent weakness. Other emerging markets are also suffering as well. Take China for instance, its PMI has been below 50 for more »
The market is doing well thus far this year. Will it swoon? Historical patterns say it will not.
Hollywood has a typical formula for movies. They start well so the audience knows what is at stake if things go wrong. Invariably they do, but whatever is lost is eventually recovered by the time the movie ends.
By that standard, the 2011 stock market followed a simple Hollywood script. The first more »