These two underperforming ETFs deserve a second look by investors

Article Excerpt

There’s no guarantee stocks that have underperformed for extended periods will perform better in the future; nevertheless, when quality companies end up at the bottom of performance rankings, but have low valuations and high dividend yields, they deserve a second look. This month, with subscriber opportunities in mind, we highlight ETFs that have underperformed the broader markets for the past three years. First, we look at value-stock and energy-infrastructure ETFs. Starting page 23, we cover copper miners, U.S. telecoms, and integrated oil and gas producers. The supplements on pages 29 and 30 offer you yet more information on the energy sector as well as value investing. VANGUARD GLOBAL VALUE FACTOR ETF $32.93 (Toronto symbol VVL; TSINetwork ETF Rating: Aggressive; Market cap: $70.0 million) gives investors exposure to two broad indexes: the FTSE Developed All Cap Index and the Russell 3000. Stocks that score highly on valuation criteria, such as book-value-to-price, forward-earnings-to-price and cash-flow-to-price ratios, qualify for inclusion. They also meet other criteria. U.S. stocks comprise…