Beneath the Surface – March 2024 INDEXING: INDIVIDUALLY OPTIMAL, SYSTEMATICALLY RISKY At the end of 2023, indexed strategies comprised more than half of long-term funds and ETF assets in the US (globally: 40%), usurping active strategies for the first time (chart, below left), and more than doubling since 2013 (c.25%). Focusing on the equity markets, this note seeks to quantify the magnitude, momentum and drivers of passive’s growing influence and the implications of this trend for market structure and investment strategy. Read the full note here: https://lnkd.in/d4fBDjXs
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How to Improve ETF Sector Momentum In this article, we explore the historical performance of sector momentum strategies and examine how their alpha has diminished over time. By analyzing the underlying causes behind this decline, we identify key factors contributing to the underperformance. Most importantly, we introduce an enhanced approach to sector momentum, demonstrating how this solution significantly improves the performance of an ETF sector momentum strategy, making it once again an effective tool for systematic investors. https://lnkd.in/dCaG8gjG
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How to Improve ETF Sector Momentum In this article, we explore the historical performance of sector momentum strategies and examine how their alpha has diminished over time. By analyzing the underlying causes behind this decline, we identify key factors contributing to the underperformance. Most importantly, we introduce an enhanced approach to sector momentum, demonstrating how this solution significantly improves the performance of an ETF sector momentum strategy, making it once again an effective tool for systematic investors. https://lnkd.in/dsW3jiTq
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Rising ETF allocations, demand for active and thematic ETFs, and greater product diversification. We unpack the key findings from our Global ETF Investor Survey and examine how investors are striking a balance between optimism and caution. Explore the full report for more insights: https://lnkd.in/end9bJR9
2024 Global ETF Survey: ETF Overview
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From Investment IQ. ETF flows in Q3 2024 saw strong inflows, with both equity and fixed-income ETFs benefiting from investor confidence. The US and European equity markets led the inflows, with corporate bond ETFs also attracting attention. As the Federal Reserve’s rate-cutting cycle continues, market participants are increasingly turning to ETFs for diversified exposure. Core equity ETFs and ultra-short maturity bond products gained significant traction, offering investors flexibility in navigating the current market environment. Vanguard. 🔗 Read the full article on Investment IQ: https://incm.pub/4eeiOVv #investing #assetmanagement #wealthmanagement #finance
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Many investors and advisors know that ETFs are not only a low-cost, effective means of capturing the performance of almost any segment of the market, they are also powerful tools for monitoring market trends. This dual purpose of ETFs is where etf.com’s Markets Monitor comes in as a powerful tool. https://lnkd.in/gag7N4jJ
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Active ETFs are the fastest-growing segment of the global ETF market, but they are still a long way off widespread adoption in the UK. In ETFs In Focus, we explore why wealth managers and advisers may be holding back. Will these strategies become a mainstay in client portfolios or are they just a fad? Experts also share their views on where the ETF market is likely to evolve to from here and where demand lies from wealth managers and advisers. https://ow.ly/JTPP50U7Khu
ETFs In Focus 2411
citywire.com
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From Investment IQ. ETF flows in Q3 2024 saw strong inflows, with both equity and fixed-income ETFs benefiting from investor confidence. The US and European equity markets led the inflows, with corporate bond ETFs also attracting attention. As the Federal Reserve’s rate-cutting cycle continues, market participants are increasingly turning to ETFs for diversified exposure. Core equity ETFs and ultra-short maturity bond products gained significant traction, offering investors flexibility in navigating the current market environment. Vanguard. 🔗 Read the full article on Investment IQ: https://incm.pub/4ekukyo #investing #assetmanagement #wealthmanagement #finance
What are the latest trends driving ETF flows in Q3 2024?
investmentiq.co.uk
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Exploring ways to benefit from economic recovery or mitigate risk during economic downturns? ETF Strategist Darim Abdullah highlights the benefits of Invesco's Dynamic-Multifactor ETFs for investors seeking diversification across US and international #equity markets. Learn more here: https://ow.ly/KPIj30sB2nX
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Exploring ways to benefit from economic recovery or mitigate risk during economic downturns? ETF Strategist Darim Abdullah highlights the benefits of Invesco's Dynamic-Multifactor ETFs for investors seeking diversification across US and international #equity markets. Learn more here: https://ow.ly/xmOE30sBihT
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“While momentum investing is appealing in a liquidity-driven bull market, is it always the best strategy?” “As a strategy, momentum investing raises cash when the momentum of holdings turns negative. Such is not the case for an ETF that must always remain invested. If we break the comparative performance down into specific periods, the value of the momentum strategy gets lost.” A good read on momentum trading, when it works, and when it doesn’t work. 📈 📉 📊 💸 *article (and the above quotes) are found in the first comment
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