etf

ETF managers use benchmark indexes to manage their ETF portfolios. Benchmarks are expected to fairly represent a target universe. The S&P 500 index, for example, is often used by ETF providers who aim to offer investors broad exposure to the U.S. stock market.


Benchmark providers, such as Standard & Poor’s or the Financial Times, must decide which companies to include in a benchmark index and the weight to give each company....

Promoters of ETFs are in the business to make money from the products they provide. This is a legitimate objective, but sometimes promoters aim to capitalize on short-term fads to appeal to investors. These products can deliver poor results in the long term. Below, we look at three ETFs:


ISHARES MSCI BRIC ETF $46 (New York symbol BKF; Market cap: $333.5 million) invests in companies based in the BRIC countries—Brazil, Russia, India and China....

An abundance of oil and natural gas resources has made Norway one of the wealthiest countries in the world. However, efforts are underway to diversify its economy beyond natural resources, and there are early signs of success.


Time will tell how complete or successful that transition is....

Rising interest rates mean dividend-paying stocks and fixed-income instruments must increasingly compete for investor interest. However, sustainable dividends still offer an attractive and growing income stream for investors (see supplement on page 50).


Here are four ETFs that provide exposure to Canadian, U.S....

In the 1950s, some shoe stores kept a specialized x-ray machine on the sales floor. The ads in the window said you could use the machine to check the fit on a new pair of shoes before buying them. Critics called it a gimmick to speed up shoe sales, and warned about the risk of needless exposure to x-rays.


Something like this happens today with ETFs.


For instance, fund marketers see ETFs as a potent selling tool....

PROSHARES DECLINE OF THE RETAIL STORE ETF $34 (New York symbol EMTY; TSINetwork ETF Rating: Aggressive; Market cap: $24 million) is designed to move in the opposite direction of its underlying index—specifically, the Solactive-ProShares Bricks and Mortar Retail Store Index.


That means the ETF’s investors profit as share prices for 56 U.S....

U.S. retail sales continue to recover as employment, wages and consumer confidence rise. The growth of online shopping has also contributed to the recovery. Still, the pace of future gains for retailers will largely depend on how fast interest rates move up.


Here are two ETFs that aim to benefit from the continuing rise in consumer spending (for more information, see the supplement on page 49).


SPDR S&P RETAIL ETF $45 (New York symbol XRT; TSINetwork ETF Rating: Aggressive; Market cap: $427.8 million) invests in firms that are involved in the U.S....

The best performing ETFs have low management fees, diversification, and are more tax-efficient than many other investments

GLOBAL X COPPER MINERS ETF $25.93 (New York symbol COPX; buy or sell through brokers; www.globalxfunds.com) aims to track the Solactive Global Copper Miners Index, which includes 30 global mining and exploration firms. The ETF started up in April 2010.


Canadian firms make up 30.6% of the fund’s holdings....

An investment mania usually begins as a mass attraction to a specific investment, or investment area. It often ends up including a range of investments that bear only a passing resemblance to the original investment area.


The recent mania for bitcoin and other cryptocurrencies—which we think will end badly for most investors—is grounded in several factors....