Written by David Fabian, November 24th, 2015
When investors think of growth opportunities, their focus rarely turns to the financial sector. The business models of banks, insurance, and brokerage companies have matured to the point of taking up residence squarely in the value category. This leads to a focus on earnings, share buybacks, and dividend growth rather than capital appreciation or momentum.
Not surprisingly, the benchmark Financial Select Sector SPDR (XLF) has gained just 1% so far this year. This well-known exchange-traded fund tracks nearly 90 large-cap stocks of banking, financial, real estate, and capital markets enterprises. XLF experienced a pernicious drop during the summer sell-off, but has since managed to recover back into positive territory. Read more
Written by Michael Fabian, November 24th, 2015
Examining the markets over the last several months, it comes as no surprise that the recovery in equities has been a bit lopsided from a capitalization perspective. Large cap dominated portfolios have nearly erased their losses stemming from the August-September correction, while more growth orientated small and mid-cap strategies have lagged. From a performance perspective, small cap stock indexes are still roughly 8-10% off their 2015 highs, allowing a lot of room to play catch-up. Read more
Written by David Fabian, November 17th, 2015
With “Black Friday” quickly approaching, many investors are going to be turning their heads towards the all-important fourth quarter retail sales statistics. This time of the year is critical for both online retailers and traditional brick-and-mortar stores to prove that consumer demand is achieving its fully potential.
In addition, it provides the opportunity for a massive sales boost that typically increases the profitability of both big and small shops. This year may see the spotlight shine even brighter as retail stocks enter this all important time frame under a halo of uncertainty.
Read the complete article at NASDAQ.com
Written by David Fabian, November 15th, 2015
This week’s opening blog post is dedicated to a more wide-ranging overview of the global financial markets. This purpose of this analysis is to take a broader view of several key indices in order to reaffirm current trends or assess new opportunities. Without further preamble, let’s dive in… Read more
Written by David Fabian, November 13th, 2015
As I peruse the list of over 1,800 exchange-traded products, I am struck by how many new funds are dedicated to niche strategies. Now I’m not talking about a unique value style fund or low volatility strategy with hundreds of underlying holdings spread across multiple sectors. I’m speaking specifically about ETFs that are dedicated to small corners of the investment universe such as restaurants, cancer research, mobile payments, and others. Read more