Ramón Rodríguez, CFP®’s Post

Quick Guide to ETFs (In Minutes!) 😮💨 What’s an ETF? ETFs, or exchange-traded funds, are investment vehicles that trade on exchanges and mirror the performance of a specific index. They offer exposure to diverse assets like stocks, bonds, commodities, and foreign currencies. They also delve into specific sectors, themes, or geographical regions. How do ETFs differ from Mutual Funds? While both are collections of securities, ETFs can be traded throughout the day at varying prices, unlike mutual funds which are traded once daily after the market closes. Passive vs. Active ETFs: What’s the difference? Passive ETFs typically track a broad index, whereas active ETFs are curated by managers who make decisions on the securities within the ETF. Reasons to Consider ETFs: • Simplicity: They offer an easy route to mirror an index or target a specific market segment. • Transparency: You can view the securities within each ETF. • Accessibility: ETFs open doors to markets that might be hard to enter. • Cost-Effective: Passive ETFs often have lower costs than active ones. • Flexibility: Being exchange-traded, they can be bought or sold any time. • Diversity: An ETF can comprise numerous securities, offering wide exposure in a single move. • Portfolio Building: With ETFs, creating a well-diversified asset portfolio becomes effortless. Top Equity ETFs to Know: 1. SPDR S&P 500 ETF Trust (SPY) - Valued at $396B 2. iShares Core S&P 500 ETF (IVV) - Valued at $340B 3. Vanguard S&P 500 ETF (VOO) - Valued at $322B 4. Vanguard Total Stock Market ETF (VTI) - Valued at $303B 5. Invesco QQQ Trust Series I (QQQ) - Valued at $199B The ETF Landscape: ETFs have revolutionized asset management over the past two decades. By the end of 2022, global ETF assets under management (AUM) touched $11T. Forecasts suggest this number might soar to a staggering $18T by 2026. ETFs in a nutshell #markets #finance #portfolio #etfs #trading #investment #economy #equities #bonds #commodities

Buy & Sell Signals Simplify Managed Futures Strategy Etf $CTA Investment Analysis and Advice: Stock Traders Daily has produced this trading report using a proprietary method.  This methodology [...] Look at the Charts

UBS ETFs are leading the way! #UBSETF steams ahead this quarter as top provider in the Swiss ETF market with over 40% market share. Read the latest SIX ETF Market Report. https://bit.ly/3uBiUFG #ShareUBS #ETFs #financialadvisors #investing in financial #markets with #ubsetf & index funds.

There is a lot of hesitance in my region to invest in synthetic ETFs. A big part of this hesitance comes from misunderstandings and unawareness of the developments since the credit crisis. The article below helps create awareness of the benefits of synthetic ETFs. If you want to get more one-on-one information about what we have done at Invesco to improve the construction of our ETFs, creating our market leading synthetic platform. Let me know! #ETF #Invesco

These are the same issues that I will be addressing in my speech to the ETF Buyers' Conference in Milan on the 18th of April.

We invested ~$60M in an ETF that had ~$6M in net assets and pretty thin trading volume. We did it in a single trade without wide spreads or moving the market price. One efficient trade. Many are hesitant to put in a large trade relative to an ETF's AUM or volume. But it is the liquidity of an ETF's underlying holdings that defines liquidity - thanks to creation & redemption. My latest article explains liquidity and how we executed a large trade. 👇

Decided to sell my position in Silver via the iShares Silver ETF for 5% loss. Decision wasn't based on the fundamentals for silver. I think in Medium/Long Term are quite good in their role for climate-friendly technology. My issue is with the efficiency of the ETF. On Thursday when silver was popping 6%, the ETF barely budged. The trading volume is very low now, so clearly not getting good price discovery. Decided better to find another alternative to get exposure. In my ETF course I talk about looking for ETF's with high trading volumes to reduce risk of running into situations like I faced. Other reason I bought it originally...4 years ago! was there was no trading commissions (another tenant I shoot for is keeping costs low). The experience reinforces another lesson I talk about which is yes we want to keep costs as low as possible to keep more of our hard earned savings in our pocket and not a banks pocket, but sometimes, it's just more prudent to pay a few extra basis points for a quality product. So I will look for another product to get me the same passive exposure to silver. A little disappointing after owning it for 4 years....that's the way investing go! Accept the loss. Manage the loss. Forget about it and move on!

Great read on why ETF AUM and trading volume are NOT the most important factors when assessing ETF liquidity. The role of market makers are important in these scenarios, and having access to solid relationships at these institutional desks can save your client thousands, especially when trading in less liquid markets.

This thread and article are so important for ETF investors to read.

Buffer, covered call and tail hedged. The number of options-based ETFs is steadily growing in Europe and investors now have more choice than ever if they want to hedge their portfolios against market downturns. With this in mind, ETF Stream explains the nuances of each strategy and how fund selectors can get the most out of them in portfolios. #ETF