To be used for any questions relating to Exchange Traded Funds.
4
votes
1answer
39 views
Where is “Cash Credit from Unsettled Activity” coming from?
It's only been a month and few days since I started investing in my Roth IRA with Fidelity. Today, when I checked Portfolio Positions page, there was this thing called, "Cash Credit from Unsettled ...
1
vote
2answers
44 views
Which expenses eat up investments the most: sales charge (front / back-end load), foreign exchange spread, or expense ratio?
I am a bit confused as to which expenses eat up most of the investment.
Some brokers have low sales commission but the foreign exchange spread is high. Some have higher sales commission but lower ...
2
votes
3answers
263 views
betterment vs vanguard life strategy vs vanguard target retirement
I'm a 20 something grad student and would like to open a hands off retirement account with beta exposure to the market and would make monthly contributions. I'm fairly illiterate wen it comes to ...
4
votes
2answers
111 views
What happens to your investment if the broker (which acts as a custodian) goes bankrupt?
For instance, you purchased ETFs using a broker that also acts as a custodian, what will happen to your investment in case the broker / custodian goes bankrupt? Will you lose all your investments?
...
2
votes
1answer
50 views
How can I estimate the sensitivity of a bond ETF's price to interest rate changes?
Is there a standard method for estimating the sensitivity of a bond ETF's price to interest rate changes? Some of the information I have includes the average duration and the SEC yield.
3
votes
0answers
88 views
Couch Potato Portfolio for Europeans?
I recently came across the Couch Potato Portfolio concept and was happy to find an investment strategy that made sense to me. Its origin seems to be the Canadian version, and it has been translated ...
3
votes
2answers
43 views
How can I know if the ETF stock is bought by stock participant (change) or the fund (vs. outflow)?
Consider an ETF with tick symbol TIP and a customer clicking 'Sell' to sell one share via Fidelity brokerage. How can the customer know if that single stock will be bought by another person on the ...
3
votes
1answer
52 views
What are the risks with ETFs with relatively low market caps?
I have an account at Fidelity where I purchase ETFs every few weeks with contributions from myself and my employer. I have been buying ITOT, IXUS, and AGG (total stock market, total international ...
4
votes
1answer
258 views
Buy US ETF as foreigner — a bad idea?
I'm considering to buy index ETFs from US through TD Ameritrade, but as a non-resident alien (foreigner), my main concern is the 30% withholding tax on:
all dividend (especially the bond ETFs)
...
3
votes
1answer
48 views
Can I invest in the housing market via the stock exchange?
Buying houses is expensive these days, and interest on mortgages is extortionate. Do investments via the stock market exist where you can invest in the housing market? Maybe shares in real ...
5
votes
2answers
105 views
Investments backed by physical Diamonds?
I understand people can invest in Gold via ETF's which are investments backed by physical gold. My question is, do investments exist which are physically backed by Diamonds?
-1
votes
2answers
87 views
Which instrument to use to trace the Aussie Stock Market?
The best way to achieve market returns is to get into a product that traces the market, right?
So I have found two such potential products to trace the ASX 200. The first is an ETF, STW.AX (SPDR 200 ...
0
votes
0answers
47 views
How is the price of VXX determined?
I'm trying to understand how VXX works (the prospectus on Barclay's Ipath). It says that it has a rolling position in futures (1 month and 2 month). Does that mean that it buys and sells contracts ...
2
votes
4answers
313 views
How to invest in gold at market value, i.e. without paying a markup?
At 2013-03-24 - 11:30am, the value of gold in the UK per oz was 1056.7GBP. I can buy a 24 carat 1oz gold coin (999.9) for 1132GBP. I can sell that gold coin for 1010GBP.
I am clearly doing ...
3
votes
1answer
88 views
Is there difference in risk between physical or synthetic replication of an index by an ETF?
I understand that there are different ways to manage an ETF. Some use physical replication where they seem to buy the actual stock to track the index it is following. Others use synthetic replication ...
12
votes
6answers
443 views
Why is the dominant investing advice for individuals to use mutual funds, exchanged traded funds (ETFs), etc
The dominant advice on this site (including that which I give to novices) regarding investing is to only invest in fund vehicles (mutual funds, ETFs, etc), rather than in individual stocks.
Why is ...
3
votes
1answer
138 views
Investment Portfolio Setup for beginner
I am new to investing but want to start soon, after being able to save some money and doing some research for the past few days. Here are some basic info about myself and my goals:
Mid twenties
...
5
votes
1answer
73 views
Is there a website which shows indexes and their corresponding ETFs?
I am looking for a website which shows a list of indexes and their corresponding ETFs. Specifically, I'm looking for a list where the first column lists indexes from around the world and the second ...
1
vote
3answers
110 views
What are the minimum investment requirements for the S&P500 spyder (NYSE:SPY)?
The current price for the S&P500 SPDR ETF is about USD 150, so I would guess that I need approximately USD 15,000 to purchase the minimum lot of 100 shares, as well as the transaction costs, which ...
1
vote
1answer
190 views
How to determine mutual fund or ETF capital gains taxes in Canada?
I live in Canada. I invest with TD Waterhouse, but I believe my question is unrelated to my specific broker.
Over the course of 2011 and 2012, I invested in a mutual fund indexed to the S&P/TSX ...
0
votes
1answer
66 views
How to calculate the total managing/transaction/etc costs of an index ETF and an index mutual funds?
I am considering to passively invest my savings, and I am deciding between an S&P 500 ETF or S&P 500 mutual fund. Yet, I am not sure what to look for in each option and how to calculate the ...
1
vote
2answers
119 views
Mutual Funds Definition and Role
So mutual funds are funds which have exposure to a variety of assets to reduce the risk. But there are mutual fund companies (like BlackRock) in which people can invest into, and they determine a ...
0
votes
2answers
44 views
How do I get a list of the top performing funds between two given dates?
Between dates X and Y return a list of the top performing funds, indexes, ETFs, etc for that date range.
i.e. if a lump sum had been invested at date X, a list of which funds had the top performance ...
4
votes
1answer
159 views
What does the “SEC 30-Day Yield” mean for a Bond ETF?
I'm currently a student awaiting admission into grad school and have about $10,000 in a Scott Trade account ready to invest. Because I'll be using the money to pay for moving expenses and anything ...
5
votes
2answers
111 views
Does it make sense to talk about an ETF or index in terms of technical indicators?
For example, a story today talked about SPY approaching support levels. Given that the price of the ETF is essentially determined by the price of its constituents, does this even make sense? Do ...
4
votes
2answers
423 views
Pros & cons of buying gold directly vs. investing in a gold ETF like GLD, IAU, SGOL?
Google search brings up some articles on this topic, but they can be biased, so:
What are the advantages and disadvantages of buying physical gold vs. investing in a gold ETF like GLD, IAU, or SGOL? ...
6
votes
1answer
133 views
Starting off as an investor
For 2 years I am alternating between 4 months of work and 4 months of school, so for the first time in my life, I have a lot more money than I need. I will be graduating in 15 months and am looking ...
-3
votes
1answer
287 views
What is the daily rebalanced leverage ratio that is ideal for the S&P 500 based on past performance?
This question assumes an investor with a very low risk-aversion coefficient. The risk-aversion coefficient is basically the 2nd-derivative of an investor's utility function as a function of money. An ...
4
votes
1answer
71 views
As a Brit, how do I invest in US ETFs
Specifically, I'm interested in the Vanguard High Dividend Yield ETF. I actually live in China and don't plan on returning to the UK for the foreseeable future. Although I have some UK investments, ...
6
votes
3answers
180 views
How do I calculate the current risk involved with US Bond Index Funds?
For months I have been trying to wrap my head around the concept of risk involved with the US Bond Index Funds in my portfolio. My initial conclusion is that the risk of long-term damage to my ...
8
votes
1answer
80 views
What are the differences in taxes rules for specialty ETFs such as GLD (Gold ETF) and general ETFs?
I am on 15% tax bracket. In terms of shot term hold and long term hold, I want to know what the differences in taxes rules for specialty ETFs such as GLD (Gold ETF) and general ETFs as are?
4
votes
2answers
281 views
Where can I find ETFs that go up when the market goes down?
If the general market index goes down, is there a concept of an ETF that will go up on those scenarios?
2
votes
1answer
49 views
Long term bond index prices before 2000?
When comparing TLT (Barclays 20 year bond index) with the S&P 500 (e.g. VFINX) it looks too good to be true - almost perfect negative correlation. When the stock market crashes, TLT skyrockets in ...
1
vote
4answers
244 views
ETF + Hedge ETF = guaranteed profit?
If I own an ETF (say based on the S&P 500) and also a short on a correlated index (e.g. SH), does that mean I am guaranteed to win in either extreme market condition? I simply sell the one that is ...
3
votes
1answer
190 views
“Cap gains exposure” of an ETF — what does it mean?
Morningstar provides an ETF data point called potential cap gains exposure. For example, here is Vanguard's Europe ETF (VGK):
This value is negative 78% for VGK. I understand that this is a good ...
0
votes
3answers
121 views
Index funds options for European Union citizens
U.S citizens can easily purchase Vanguard etfs to invest in indexed stocks or bonds. Are there any similar options for EU citizens, and which?
7
votes
2answers
193 views
What are these fees attached to mutual fund FSEMX?
Could somebody please explain these fees attached to FSEMX?
Annual Report Expense Ratio (net)
Prospectus Net Expense Ratio
Prospectus Gross Expense Ratio
Finance.yahoo.com indicates that they are ...
3
votes
1answer
141 views
What is the difference between shares and ETF?
For example I see that this:
https://personal.vanguard.com/us/funds/snapshot?FundId=0770&FundIntExt=INT
is "Also available as a lower-cost Admiral™ Shares mutual fund and an ETF."
What is the ...
3
votes
2answers
469 views
What are short-term fairly liquid investments with attractive yields?
I am looking for fixed-income investments or investment strategy that offer quarterly liquidity and attractive annual effective yields and low risk (i.e. holding the security for a a quarter should ...
6
votes
2answers
98 views
How are active ETFs possible?
I'm having trouble wrapping my head around how it's possible to have these new active ETFs. How do they operate, realistically?
I mean, the point of ETFs (as a structure) is that arbitrageurs can ...
5
votes
5answers
414 views
Can you beat the market by investing in double long ETFs?
Certain ETFs double the daily rate of return of certain indices.
Can you use such ETFs to beat the market (not on a risk-adjusted basis, just in terms of pure returns)?
I have read that
When ...
3
votes
1answer
133 views
Do all ETFs fall under the Investment Company Act of 1940?
Do all ETFs fall under the Investment Company Act of 1940? If not, how would a buyer know? Are there legal or financial terms to look for in the prospectus, or will be it spelled out explicitly?
5
votes
3answers
237 views
Do ETF managers charge management fees on top of transaction fees?
I see that ETFs do work very similar to diversification of individual stocks following either an industry or an index. I am thinking of changing my strategy to reduce my cost of investing which at ...
7
votes
1answer
71 views
FTSE exposure in US Exchanges
Is there a FTSE 100 index futures contract that trades on the US exchanges? Thanks
I think there is an ETF but I am looking for futures, mainly for charting purposes.
4
votes
2answers
50 views
International (ex-US) ETFs with low exposure to financial sector?
I've noticed that many international ETFs (especially emerging market funds) have a large stake in the financial sector. Are there any ETFs that de-emphasize financials?
Conversely, are there any ...
1
vote
1answer
90 views
Are there any ETFs that follow the “Dogs of the Dow” allocation?
Essentially what it says on the tin. The "Dogs of the Dow" strategy seems to be a fairly popular basic strategy to follow for stock portfolio allocation - are there any ETFs that do this for you?
5
votes
5answers
642 views
Roth IRA = Emergency Fund. Any Safe Investments?
I've been building my emergency fund through automatic deposits into a Roth IRA at TDAmeritrade. This has been working well, since the money is out of sight, out of mind, and I can easily withdraw it ...
3
votes
2answers
104 views
Potential problems with SIPPs and ETFs
My plan for kick-starting my pension is to set up a Self Invested Pension Plan and buy some ftse 100 Exchange Traded Funds (iShares, probably).
This is only the starting point, the simplest thing ...
2
votes
2answers
176 views
401k with paltry match or SPY ETF?
Summary:
I read about the SPY ETF here on SE ( Where should my money go next: savings, investments, retirement, or my mortgage? ) and I am curious about JoeTaxpayer's comment specifically on the idea ...
0
votes
1answer
59 views
Can you recommend a trading service or a place that ranks them?
I'm looking for a trading service(s) -- a service that recommends stocks and ETFs for shorter term trades, from "day trades" to several month trades -- that has a good track record, and ideally even ...
