In “Noted ETF Investor Reveals Current Favorites” for Smart Money Magazine, Rob Wherry sat down with Tom Lydon to discuss some of his current favorite ETF funds.
Lydon is intrigued but not completely sold on the actively managed ETF concept yet. He intends to wait for a few quarters of performance numbers before deciding if they meet his investment criteria.
Lydon is currently betting on biotechnology. He thinks the economic downturn will continue for some time and finds biotech stocks a good investment in this type of environment. Lydon likes the iShares Nasdaq Biotechnology Fund (IBB) because of its relatively small expense ratio that is almost half the fees of comparable actively managed health-care mutual funds. Lydon also likes PowerShares Dynamic Biotech & Genome (PBE).