Fri, Dec 2, 2016
A A A
Welcome vaishu
RSS

Commodities Briefing - Category | ETFs / ETCs more

Industrial Metals ETF Could be Ready to Shine

Posted on 20 October 2016 by VRS  |  Email |Print

Precious metals and the related exchange traded products are soaring this year, but the same cannot be said of their industrial metal counterparts. In what could be some good news for industrial or base metals and the corresponding exchange traded products, that trend could be poised to change.
As global economies gain momentum, industrial metals and commodity-related exchange traded funds are beginning to turn around. Industrial metals like copper, nickel, iron and steel have all rebounded in recent months as traders bet on improving global economic conditions would bolster demand for the base metals after prices hit multi-year lows……………………………………Full Article: Source

How BlackRock Is Winning the ETF Fee War (Video)

Posted on 19 October 2016 by VRS  |  Email |Print

BlackRock took the step of slashing fees in an effort to gain ETF market share, and so far, the strategy is paying off. Bloomberg Intelligence’s Eric Balchunas explains on “Bloomberg Daybreak: Americas.”.……………………………….Full Article: Source

Should you go for gold exchange traded fund or gold bond?

Posted on 18 October 2016 by VRS  |  Email |Print

As Indians, we love our gold. Not just to display, gift and bequeath, but also as an investment. For investment, we have been used to buying physical gold, but that has changed over the past few years. Just when we got used to owning gold through the exchange-traded fund (ETF) route, the government introduced another way to buy and hold gold: through gold bonds.
Gold ETFs track the price of domestic gold. You make a profit if the selling price is higher than buying price, minus costs. An ETF’s net asset value is expressed in terms of per unit cost of gold and returns closely correspond to gold price returns less adjustment for cash held in the fund. In a gold bond, returns are linked to gold price, and you get a sweetener of 2.75% interest per year…………………………………..Full Article: Source

Some Hot ETF Trends Begin To Cool

Posted on 18 October 2016 by VRS  |  Email |Print

Some of the most popular ETF trades this year seem to be cooling down. The shift in momentum is a case of mean-reversion triggered by valuations and overcrowding—too many people chasing the same strategies.
We’re talking about these five pockets of the ETF market: dividends, utilities, low volatility, REITs, and gold. “After a cooling down period, on a fundamental basis, the median PE [in most of these segments] is already now more in line with the broader market, so one could argue this was a valuation mean-reversion effect,” said Wes Gray, head of Alpha Architect and an active manager…………………………………..Full Article: Source

Money Managers Cut Gold Bets as ETF Holdings Soar to 3-Year High

Posted on 18 October 2016 by VRS  |  Email |Print

There’s a tussle in the gold market between money managers and exchange-traded fund investors. Money managers and other large speculators are bailing as the rally that took futures to its best first half in almost four decades falters.
They cut net-long positions the past two weeks by the most in data going back a decade. Investors in ETFs are taking the long view, pouring $605 million over the past week into funds backed by precious metals and helping keep holdings in gold ETFs tracked by Bloomberg at the highest since 2013…………………………………..Full Article: Source

Analysts advise on ETF trading

Posted on 17 October 2016 by VRS  |  Email |Print

Investors of exchange-traded funds (ETFs), which have gained popularity in Taiwan’s equity market, have been advised to take advantage of risk factor exposure to boost the performance of their investments, according to analysts.
Statistics released by the Taiwan Stock Exchange, which operates the local main board, show that 310,000 retail investors and more than 3,500 institutional investors have participated in local ETF trading, up 28 percent and 52 percent, respectively, from the 2003 figures, indicating that enthusiasm for ETFs in Taiwan has grown significantly……………………………………..Full Article: Source

SEC kicks the bitcoin ETF approval decision down the road

Posted on 14 October 2016 by VRS  |  Email |Print

The Securities and Exchange Commission late Wednesday declined to make a ruling on a bid to launch what would be the first exchange-traded fund that exclusively tracks the digital currency bitcoin. The regulator said it was instead seeking additional public feedback on the proposal.
The decision is the latest delay for Tyler and Cameron Winklevoss, whose proposed ETF is designed to trade baskets of shares tied to the digital commodity. The twin brothers have been among the most public advocates for a bitcoin ETF, having first announced plans for one in 2013……………………………………Full Article: Source

ETF Trading Opportunities to Watch Closely

Posted on 14 October 2016 by VRS  |  Email |Print

These ETFs have all seen strong trending movement recently. Another sizable trending wave has just begun or is likely to commence soon. The strong price moves present trades with high reward potential, especially if a stop loss can be kept relatively close to the entry point. Potential changes in the direction of the trend are also important for traders already in positions.
The iShares Nasdaq Biotechnology ETF (IBB) is in a downtrend extending back to the $400.79 peak in mid-2015. After a sharp decline in early 2016, the ETF has been moving in an expanding range, with resistance near $300……………………………………Full Article: Source

Commodity ETFs May Have More Room to Run

Posted on 13 October 2016 by VRS  |  Email |Print

Supply disruptions and increased seasonal demand has helped bolster the commodities space while global central bank policies may support returns through the rest of the year. Investors interested in gaining exposure to the commodities market have a number of exchange traded fund options available.
For instance, the recently launched Elkhorn Commodity Rotation Strategy ETF, an actively managed commodity ETF that tracks Dorsey Wright & Associates momentum-based investing style, recently caught the eye of a large investor, seeing trading volumes spike to 90,000 shares Tuesday, compared to its average volume of 14,600 per day, according to Morningstar data……………………………………..Full Article: Source

3 Commodity ETFs That Point to Higher Prices

Posted on 13 October 2016 by VRS  |  Email |Print

Heightened volatility in the financial markets has many investors concerned about the uptrends of many assets types. We’ll take a look at the charts of key commodity-related products and try to determine if they can withstand the selling pressure.
One of the funds of choice amongst active traders for gauging the direction of the broad commodities market is the PowerShares DB Commodity Index Tracking Fund (DBC). In case you aren’t familiar, the managers of the DBC fund seek to track the performance of a diversified commodity index and is comprised of futures contracts on fourteen of the most heavily traded and important physical commodities in the world……………………………………..Full Article: Source

Does Deutsche Bank’s ETF Business Face An “Uncertain” Future?

Posted on 13 October 2016 by VRS  |  Email |Print

Deutsche Bank (DB) has other problems these days. On top of a pending multi-billion dollar settlement with the U.S. Department of Justice and speculation about a government bailout, the future of its ETF business is uncertain following billions in outflows this year.
“The future of Deutsche Bank’s ETF line of business is uncertain,” says Robert Clark at S&P Global Market Intelligence. “Depending on the bank’s capital position, Deutsche Bank may be forced to consider selling its asset management division.”…………………………………….Full Article: Source

ETF Managed Portfolio Assets Grow 11% in Second Quarter

Posted on 12 October 2016 by VRS  |  Email |Print

In the separate accounts space, exchange traded funds managed portfolios have regained some lost ground, growing for the second consecutive quarter. As of the end of the second quarter, there were 787 strategies from 151 firms with $84 billion in assets under management, a 11% increase in assets from the first quarter, according to Morningstar.
The ETF managed portfolios space saw $5.1 billion in quarter-over-quarter growth, marking the second consecutive quarter of growth……………………………………….Full Article: Source

Citadel hires top UBS ETF trader Kirk

Posted on 12 October 2016 by VRS  |  Email |Print

Citadel Securities LLC said on Tuesday it has hired Haddon Kirk, who has been head of exchange-traded funds trading for UBS AG’s U.S. investment bank. Kirk is joining Citadel in a senior role focused on massive “block” trades of the funds, a company executive told Reuters. He starts Oct 31.
The company’s securities dealing division says it trades 18 percent of U.S. ETFs by share volume. Many such trades are negotiated and conducted in private. The Chicago-based company, run by Kenneth Griffin, is also known for its hedge fund……………………………………….Full Article: Source

Gold Rebounds From Worst Week in Years on ETF Bargain Hunting

Posted on 11 October 2016 by VRS  |  Email |Print

Gold futures rebounded from the biggest weekly drop in more than three years as investors jumped into exchange-traded funds backed by the metal, lifting global holdings to the highest since 2013.
Holdings of ETFs backed by gold rose by 9.1 metric tons to 2,046.4 tons on Friday. Assets in SPDR Gold Shares, the world’s biggest gold ETF backed, surged to the highest since mid-August. Bullion dropped 5 percent last week as signs of improving U.S. economic data boosted bets that the Federal Reserve will raise interest rates this year, reducing the metal’s competitiveness against interest-bearing assets such as bonds………………………………….Full Article: Source

These Safe Haven ETFs Are Selling Off Big

Posted on 10 October 2016 by VRS  |  Email |Print

The fear trade has been one of the most successful avenues for investors to take part in this year. Treasury bonds, gold, utilities, consumer staples, and REITs have all been a big contributor to outsized gains versus a traditional basket of diversified stocks and bonds.
These sectors are well-known defensive plays that tend to perk up during periods of duress in stocks or as interest rates fall. They are also beloved by income investors as a meaningful pickup in yield versus a conventional Treasury bond or S&P 500 Index fund……………………………………….Full Article: Source

How Seasonality Could Affect Oil ETFs

Posted on 07 October 2016 by VRS  |  Email |Print

Like many commodities exchange traded products, the United States Oil Fund, which tracks West Texas Intermediate crude oil futures, can be subject to some seasonal factors and that is worth remembering as the fourth quarter gets underway.
Oil is also likely to get some help from now dwindling bets that the Federal Reserve will raise interest rates in the coming months. Raising interest rates would likely boost the dollar, in turn pressuring dollar-denominated commodities such as oil……………………………………….Full Article: Source

GCC: Be Careful With This Commodity ETF

Posted on 07 October 2016 by VRS  |  Email |Print

At least on a temporary basis because WisdomTree Commodity Services LLC (WCS) has temporarily suspended the ability of authorized participants to buy new creation baskets in the WisdomTree Continuous Commodity Index Fund (GCC).
Large traders dealing in big block orders may consider consulting with a specialized liquidity provider whom benefits from an Authorized Participant contact to execute ETF trades. APs keep trades fluid by creating and redeeming ETF shares in the primary market and help limit a large investor’s impact on an ETF’s price……………………………………….Full Article: Source

ETF price war escalates as BlackRock fires broadside at rivals

Posted on 06 October 2016 by VRS  |  Email |Print

World’s largest fund manager cuts fees to attract more interest from US pension advisers. The cut-throat price war between exchange traded fund providers in the US escalated on Wednesday after BlackRock fired another broadside at rival managers by reducing fees across its core iShares ETF range.
The world’s largest fund manager cut expense ratios on 15 US-listed iShares ETFs by up to 5 basis points, reducing annual fees to between 4 and 14bp from a previous range of 7 to 16bp………………………………….Full Article: Source

Was Gold ETF’s Tumble To Its Lowest Level Since Brexit Vote Foreshadowed?

Posted on 05 October 2016 by VRS  |  Email |Print

Major stock exchange traded funds took a hit Tuesday while gold tumbled to its lowest level since the Brexit vote shook world markets in June. SPDR S&P 500 (SPY), a proxy for the broad U.S. market, closed down 0.5% and in the bottom half of the day’s trading range.
Rate-sensitive utilities and real estate led declining S&P sectors, down as much as 2.1%. Financials bucked the downtrend to advance 0.6%. Gold prices breached the key technical level of $1,300 an ounce in early trade. That break of support led to heavy selling, with spot gold settling $43 lower Tuesday at $1,269.70 an ounce…………………………………….Full Article: Source

Can Gold and Silver ETFs got Their Separate Ways?

Posted on 04 October 2016 by VRS  |  Email |Print

In what has mostly been a banner year of performances by precious metals exchange traded funds, the SPDR Gold Shares, iShares Gold Trust and ETFS Physical Swiss Gold Shares have been soaring, but they have also been outpaced by the iShares Silver Trust and ETFS Physical Silver Shares.
Year-to-date, silver has mirrored the surge in gold in response to ongoing market volatility. Silver has exhibited a correlation of over 80% to gold and typically moves in the same direction as the yellow metal but in larger movements……………………………………….Full Article: Source

Oil ETF Pops As Commodity Gains Ground After Reported OPEC Deal

Posted on 04 October 2016 by VRS  |  Email |Print

Oil commodity ETFs kicked off a new month as they ended the last - firmly in the driver’s seat, while the broad market struggled for gains. SPDR S&P 500 ( SPY ) nudged 0.5% lower shortly in midday trade Monday, as leery investors eyed reports that German officials on Sunday criticized Deutsche Bank ( DB ) for turning “speculation into a business model.”
The German lending giant is reeling after reports that it may not have funds to cover the reported $14 billion it will have to pay for a settlement with the U.S. Department of Justice (DOJ), tied to claims it sold toxic mortgage-backed securities before the global financial crisis……………………………………….Full Article: Source

The Best ETFs for the fourth quarter

Posted on 04 October 2016 by VRS  |  Email |Print

Monday marks the first day of fourth-quarter trading, and investors may want to kick off the final stretch of the year looking to an ETF that might fly under the radar, according to one technical analyst.
Ari Wald, head of technical analysis at Oppenheimer, likes the PowerShares S&P 500 High Beta Portfolio ETF. The ETF would offer diversity in a portfolio, Wald noted Friday on CNBC’s “Power Lunch.” Looking at the charts, the ETF in which top holdings include Chesapeake Energy, Williams Companies and Freeport-McMoRan, has “breakout potential.”………………………………………Full Article: Source

Betting on the U.S. election via the ‘Trump ETF’

Posted on 03 October 2016 by VRS  |  Email |Print

An exchange-traded fund focused on Mexico has become a weather vane for Republican Donald Trump’s chances winning the U.S. presidential election in November, investors said. Mexico has been a prime target for Trump, who has accused the country of taking away jobs from Americans, focusing particular ire on a landmark 1990s trade agreement with the United States’ southern neighbor and Canada.
He has said he will renegotiate the North American Free Trade Agreement, commonly known as NAFTA, or pull out of it, and build a wall along the U.S.-Mexico border to curb illegal immigration……………………………………..Full Article: Source

Watch for Breakouts in These Commodity ETFs

Posted on 30 September 2016 by VRS  |  Email |Print

Oil, gold, and silver are all moving in sideways patterns following strong rallies earlier in the year. Given that these commodities are all in what is likely to a long-term uptrend, a breakout to the downside from these patterns will present an opportunity for longer-term investors to buy at more favorable prices.
Bearish traders will also likely pounce on the opportunity to profit from the short-term decline. An upside breakout from these patterns indicates another wave higher and will attract both short-term and longer-term traders………………………………………Full Article: Source

The ETF Explosion (Video)

Posted on 30 September 2016 by VRS  |  Email |Print

It took Exchange Traded Funds 18 years to reach $1 trillion in assets, but only four to reach $2 trillion. And with assets expected to double again in a couple years alongside a never-ended stream of new products hitting the market, how can an investor make the most of this innovative new tool set?
Cantor Fitzgerald’s Reginald M. Browne, Ritholtz Wealth Management’s Joshua M. Brown and OppenheimerFunds’ Sharon French discuss at the Bloomberg Markets Most Influential summit in New York………………………………………Full Article: Source

ProShares Launches New Actively Managed Oil ETF

Posted on 29 September 2016 by VRS  |  Email |Print

ETF issuer ProShares today debuted a new oil-focused ETF that offers investors exposure to WTI crude oil futures contracts, but allows them to skip the hassle of dealing with K-1 partnership tax forms.
The new fund, dubbed ProShares K‑1 Free Crude Oil Strategy ETF is the only crude oil-focused ETF that is not a commodities partnership. Therefore, it does not deliver K‑1 tax forms to shareholders……………………………………Full Article: Source

As Oil Jumps, Largest Energy ETF Spikes To Its Best Level In Two Weeks

Posted on 29 September 2016 by VRS  |  Email |Print

Energy ETFs rebounded Wednesday on reports that major world oil producers may be in accord on cutting output. The news built up hopes for a floor under crude prices, which have crumbled over the past year amid a persistent supply glut.
Oil prices jumped after major world oil producers were said to have reached an agreement to reduce oil production for the first time since 2008. The OPEC (Organization of the Petroleum Exporting Countries) deal will not be formalized until November……………………………………Full Article: Source

Smart beta surge counters downwards trend for ETF fees

Posted on 28 September 2016 by VRS  |  Email |Print

The “relentless march” of more complex exchange-traded funds (ETFs) has curtailed a downward trend in fees and put pressure on income strategies’ dominance of the smart beta market. A global guide to the industry produced by data provider Morningstar has found the growth of the market in Europe is increasingly being driven by the rise of more complicated strategies.
Of the 58 new smart beta ETFs in the 12 months to the end of June 2016, more than half were linked to ‘multi-factor’ strategies that represent “a way for ETF providers to differentiate their product offerings and maintain profit margins”, according to the report……………………………………Full Article: Source

Gold price: Hedge funds, ETF investors show buying fatigue

Posted on 27 September 2016 by VRS  |  Email |Print

Gold touched a two-year high in July around $1,380 an ounce and year to date the metal is up 26% or close to $280 an ounce, one of its best annual performances since 1980. But there are signs that buying fatigue has set in for both hedge funds active on the derivatives market and institutional and retail buyers of physically-backed gold exchange traded funds.
Hedge funds dramatically raised bearish bets on gold during the final months of 2015 pushing the overall market into a net short position – bets that gold could be bought back at a lower price in the future – for the first time since at least 2006, when government first started to collect the data……………………………………..Full Article: Source

What’s Next for Gold and Silver ETFs

Posted on 27 September 2016 by VRS  |  Email |Print

The SPDR Gold Shares, iShares Gold Trust and ETFS Physical Swiss Gold Shares and other gold-related exchange traded products got a bit of a reprieve last week when the Federal Reserve again opted against raising interest rates.
Still, the Fed appeared more dividend than ever with at least three members voicing the opinion that it is time to boost borrowing costs. However, it must be noted that the Fed did not give a specific timeframe for when it could raise rates again. As investors have already learned this year with gold and gold miners, the longer rates stay low, the better for gold-related assets……………………………………..Full Article: Source

Getting Near Time for Nat Gas ETFs

Posted on 27 September 2016 by VRS  |  Email |Print

The United States Natural Gas Fund and the iPath Bloomberg Natural Gas Subindex Total Return ETN along with other natural gas-related exchange traded products are often subject to seasonal trends. With winter approaching, the seasonality of natural gas could be advantage for the commodity.
However, market observers warn that natural gas demand will dip as the seasons change and temperatures cool. Some analyst are already warning of a potentially new record high natural gas inventory levels in the months ahead……………………………………..Full Article: Source

5 Contenders for the Top Income ETF

Posted on 26 September 2016 by VRS  |  Email |Print

The best dividend ETF should pay a high yield from a diversified portfolio of dividend stocks while offering the potential for investors to earn additional returns from capital appreciation. To that end, here’s a list of what I believe to be the five best dividend ETFs out of more than 100 dividend ETFs on the market today:
Before buying any of these, it’s important to know how the funds work. Here’s the case for each fund, and why each one deserves a spot in the list of the best dividend ETFs for an income portfolio……………………………………Full Article: Source

Learn More About The First And Only Dorsey Wright Commodity ETF

Posted on 23 September 2016 by VRS  |  Email |Print

Elkhorn Investments, founded by Ben Fulton, former Managing Director of Global ETFs at Invesco PowerShares, is launching the first ever Dorsey Wright commodity ETF with no K-1. The Elkhorn Commodity Rotation Strategy ETF (DWAC) is an actively-managed, tactical, momentum-based commodity strategy with an intelligent futures roll strategy.
Below is an inside look at the strategy behind DWAC, which began trading on Nasdaq on September 21th, 2016. Elkhorn is launching the first Dorsey Wright based commodity ETF, the Elkhorn Commodity Rotation Strategy ETF (DWAC). DWAC is the first and only pure momentum-based commodity strategy available in the ETF structure……………………………………..Full Article: Source

Commodity funds in fee ‘bonanza’ as assets soar 46%

Posted on 23 September 2016 by VRS  |  Email |Print

Commodity funds and ETFs have seen assets soar 46 per cent since the end of last year creating a bonanza for providers due to the high fees they charge on the niche products, Cerulli Associates analysis reveals.
Inflows are reaching the ‘highest level in years’ hitting €5bn year to date following €1.5bn inflows in July, Cerulli says. Inflows are attributed to gold prices rising 19 per cent over the period, as well as unsettled markets………………………………………Full Article: Source

It’s Goldman vs. JPMorgan in ETF Battle

Posted on 22 September 2016 by VRS  |  Email |Print

Wall Street banks led by Goldman Sachs Group Inc. (GS) and JPMorgan Chase & Co. (JPM) are stepping up their efforts to grab a large stake in the global market for exchange traded funds, or ETFs, worth an estimated $3 trillion.
The stakes, and the potential for growth, are high. Goldman and JPMorgan each have over $1 trillion in assets under management, largely in actively managed accounts. In rolling out increasing numbers of passively managed ETFs, they will be taking on the likes of Vanguard, BlackRock (BLK) and State Street (STT), to name a few key players. But executives at Wall Street banks see plenty of room for new entrants like themselves……………………………………Full Article: Source

Four ETFs Launch, Three On Bats

Posted on 22 September 2016 by VRS  |  Email |Print

Dividend-focused investing is popular these days, as investors look for sources other than traditional bond ETFs for income. One of today’s launches sets out to simplify—as well as diversify—the search for the best dividend ETF with one single ticker.
The Amplify YieldShares Prime 5 Dividend ETF (PFV) is essentially a fund of funds. This ETF owns the top five U.S. dividend ETFs selected based on three criteria: low expense ratio, low share price volatility and high dividend income, according to Amplify, a firm led by industry veteran Christian Magoon…………………………………….Full Article: Source

What Lies Ahead for Oil & Gas ETFs?

Posted on 20 September 2016 by VRS  |  Email |Print

So far, 2016 has not been smooth sailing for the U.S. oil futures. The commodity has been very volatile this year with prices recovering from a 12-year low of $26.21 a barrel in February to $50/barrel mark in early June, slipping again to under $40 only to rally toward $50 once more.
While factors like Canadian wildfires, Nigerian outages/disruptions, production issues in Venezuela and a strike by Kuwaiti oil workers contributed to jump in prices earlier this year that saw the benchmark recover significantly, these issues have largely vanished from the market. As of now, overproduction of crude and a glut of refined products keep the commodity under pressure………………………………………..Full Article: Source

5 Millennial Friendly ETF Investing Ideas

Posted on 20 September 2016 by VRS  |  Email |Print

Millennials – population with birth years ranging from 1980–2000 – are increasingly hogging the attention of the investing world. And why not? After all, this cohort seems to be a key growth driver of the U.S. economy, outpacing baby boomers in 2015 and reflecting over one quarter of the nation’s population.
As this group has the prospect of comprising 75% of the workforce by 2025, it surely emerges as a long-term investing bet. As per research by Global X, millennials now earn about $2 trillion, with income projected to grow to $8 trillion by 2025………………………………………..Full Article: Source

Can ETFs Outperform Hedge Funds?

Posted on 16 September 2016 by VRS  |  Email |Print

What can exchange-traded funds (ETFs) provide that hedge funds cannot? Some analysts suggest that ETFs of a particular type boast minimal problems with illiquidity, plus a position in the market that is not overcrowded.
And, above all, the reduced fee structure and the relative certainty of positive returns may be more attractive to investors, particularly those who are averse to the high stakes involved with putting money in hedge funds. Unlike a hedge fund, an ETF tracks a particular market index, replicating market performance………………………………………..Full Article: Source

Benefits of Diversifying with a Liquid Alternative ETF Strategy

Posted on 16 September 2016 by VRS  |  Email |Print

Exchange traded funds that replicate hedge fund strategies or track liquid alternatives are a good way to diversify a traditional equity and fixed-income portfolio to lower the potential negative effects of a volatile market ahead.
“Current equity market levels and the prospect of rising rates may mean lower returns and higher volatility in traditional portfolios,” Yazann Romahi, Portfolio Manager and Head of Global Multi-Asset Research in the Multi-Asset Solutions Team at J.P. Morgan Asset Management, said……………………………………….Full Article: Source

Investors Should Avoid Treating Commodity-Based ETFs as Actual Commodities

Posted on 15 September 2016 by VRS  |  Email |Print

One of the biggest problems commodity investors face is finding a way to invest without having to trade in the futures market. Commodity-based stocks can partially do the job, but there really aren’t many “pure play” stocks. If you like gold, silver or any other precious metal, investing in a mining company can be a good idea, but it still doesn’t pass for the underlying commodity itself.
Companies trade based on fundamentals and other market forces. While the price of a commodity will certainly be a factor in determining the stock’s value, things like earnings, mining reserves, land rights, debt and a slew of other details are also part of what makes up a company’s total value………………………………………..Full Article: Source

Making Sense of Commodity Exchange-Traded Products

Posted on 15 September 2016 by VRS  |  Email |Print

For hundreds of years, investors have been buying and selling commodities. In fact, sources point to the first commodity futures contract dating back to the 1600s! Given this lengthy history of investing, it is quite surprising that investing in commodities was very difficult for the retail investor until exchange-traded products (ETPs) made things easier.
In 2004, the first commodity ETP was launched as a way for investors to hold gold. Today there are over 100 U.S.-listed commodity ETPs, used by investors of all types; however, how these products work is often misunderstood………………………………………..Full Article: Source

Gold Assets in Top ETF Drop to 11-Week Low Amid Fog on Fed Rate

Posted on 15 September 2016 by VRS  |  Email |Print

Holdings in the world’s largest exchange-traded product backed by gold fell to the lowest since June as investors pulled back before a Federal Reserve meeting next week.
Assets in SPDR Gold Shares dropped 0.5 percent on Tuesday to 935.49 metric tons, the lowest since June 24. Holdings have dropped from a three-year high reached in July as comments from some officials fueled speculation that the Fed will tighten U.S. monetary policy this year, making gold less competitive against interest-bearing assets………………………………………..Full Article: Source

DBA: Commodities ETF Tries to Fend off the Bears

Posted on 14 September 2016 by VRS  |  Email |Print

In what has generally been a good year for commodities exchange traded products, some members of the group are struggling. For example, the PowerShares DB Agriculture Fund is off more than 10% over the past quarter.
The PowerShares DB Agriculture Fund tries to reflect the performance of the Diversified Agriculture Index Excess Return, which is comprised of futures contracts on the most liquid and widely tracked agriculture commodities. Institutional owners of DBA recently included Harvard’s endowment and a retirement plan for Canadian doctors, according to the FT………………………………………..Full Article: Source

Gold ETFs May Still Maintain Their Momentum

Posted on 14 September 2016 by VRS  |  Email |Print

While the markets may be worried about the effects of a Federal Reserve interest rate, there are still a number of factors that can still support the gold market and bullion-related exchange traded funds.
On a recent webcast, A Golden 2016: Where Does Gold Go from Here? , Imaru Casanova, Senior Analyst at VanEck, argued that technical, macro, market action and fundamental factors remain supportive for a bull market. For instance, on the technical side, a positive break-out from a long-term down trend is a bullish indicator………………………………………..Full Article: Source

Gold ETFs Remain Prime Fed Defense

Posted on 14 September 2016 by VRS  |  Email |Print

The Federal Reserve continues to vex investors. Last Friday, SPDR Gold Shares, iShares Gold Trust and ETFS Physical Swiss Gold Shares and other gold-related exchange traded products were punished after a member of the Federal Reserve said the U.S. central bank should not wait too long before raising interest rates.
Those ETFs could not catch a break Monday even after another Fed member reiterated some dovish views on interest rates. However, even with all the recent consternation regarding the Fed’s impact on gold, the aforementioned ETFs are down less than 1% over the past month………………………………………..Full Article: Source

Gold ETFs Are Still A Smart Volatility Hedge

Posted on 13 September 2016 by VRS  |  Email |Print

Gold is not bereft of volatility, but the yellow metal is often thought as a hedge against equity market turbulence. Treasury yields rest near historic lows and the Federal Reserve has yet to raise interest rates this year. In other words, 2016 has been a pretty year for equities and fixed income exchange-traded funds, but gold ETFs are topping both stocks and bonds.
For example, the iShares Gold Trust(ETF) is higher by 25.2 percent year-to-date compared to a 5.7 percent gain for the S&P 500. However, underscoring the point that gold is in fact volatile, IAU has been 320 basis points more volatile than the S&P 500 this year………………………………………..Full Article: Source

3 Commodity Plays to Pick Up Now

Posted on 13 September 2016 by VRS  |  Email |Print

The specter of higher interest rates spooked investors Friday. The usual cohort of rate-sensitive assets (bonds, REITS, utilities, staples) suffered tremendously during the terror. Commodities were also one of the hardest hit areas, with gold and silver tumbling all day long.
Higher rates dampen the appeal of non-yielding assets like the yellow metal and its high-beta cousin. Friday’s bloodbath also ushered in the long-awaited return of volatility. As is usually the case after a long absence, the sudden drop was as surprising as it was large. Despite the broad swath of destruction wrought on charts across the land, opportunity lurks in a few select areas………………………………………..Full Article: Source

Low-cost ETF challengers eat into derivatives market

Posted on 12 September 2016 by VRS  |  Email |Print

If financial markets were a school playground, exchange traded funds are the popular group that everyone wants to be friends with. By comparison, some derivatives are the wallflowers.
ETFs reached a new record for assets under management at the end of July,hitting $3.3tn globally, according to data from ETFGI. Fixed income ETF assets have grown from $60bn in 2007 to nearly $600bn in July 2016, while equity ETFs have reached $2.5tn, the data show………………………………………..Full Article: Source

Gold ETF Impact on Price ‘Intuitive’ Says SocGen as Euro Gains Before ECB News

Posted on 09 September 2016 by VRS  |  Email |Print

Gold prices held shy of 3-week highs in London on Thursday, trading at $1347 per ounce as the US Dollar fell near 2-week lows against the Euro ahead of today’s European Central Bank decision on interest rates – now negative for commercial banks using the ECB’s deposit facility – and quantitative easing.
Silver retreated from yesterday’s near 4-week highs at $20.13 per ounce, recovering half of an overnight 40 cents drop. Wednesday’s new all-time high global stockmarkets saw the giant SPDR Gold Trust shrink by half-a-tonne to just less than 952 tonnes as stockholders liquidated shares………………………………………..Full Article: Source

banner
banner
banner
banner
December 2016
S M T W T F S
« Nov    
 123
45678910
11121314151617
18192021222324
25262728293031