Tag Archives | BND

Doubling Your Money with ETFs

Forbes’ William Baldwin has a prescription for investors who would like to double their money in the stock market – be very patient and use exchange traded funds. Baldwin recommends different portfolios for a taxable and tax-sheltered account.  In the $100,000 taxable account, put $10,000 each into Vanguard funds that track large, medium and small […]

A 6 ETF Portfolio

The WSJ recently profiled Colorado Springs financial adviser Allan Roth to get his view on how to construct a diversified, tax efficient and low cost portfolio with exchange traded funds. The ETFs in Mr. Roth’s streamlined portfolio include: Vanguard Total Stock Market ETF (VTI) Vanguard FTSE All-World ex-US ETF (VEU) Vanguard Total Bond Market ETF […]

Model ETF Portfolios

As the popularity of exchange traded funds continues to grow, more advisors are offering model ETF portfolios as a service. Forbes‘ Richard Ferri takes a look at this trend in his recent article The Next Big Thing: Model ETF Portfolios.  Ferri offers his own “Core Four” portfolio solution that includes an all-Vanguard line-up: Total Stock […]

Pay Attention to Tracking Error

When buying index funds that cover smaller slices of the market, watch out for the difference between a fund’s performance and the index that the fund is supposed to track. The performance-index gap isn’t a problem for ETFs tied to broad-market benchmarks according to Sam Mamudi in the article Not All Index Funds Are Built […]

Banner Year for ETF Bond Funds

2009 was a good year for Bond ETFs. Through November 2009, taxable-bond ETFs had net inflows of $32 billion, the most among major asset classes according to a recent WSJ article by John Spence. Broad-based bond ETFs such as iShares Barclays Aggregate Bond Fund (AGG) and the Vanguard Total Bond Market ETF (BND) were popular […]

Are Bond ETF investors buying high and selling low?

Bond ETF investors may be taking a haircut when their funds add or reduce shares. According to Bond ETFs: A New Way to Buy High or Maybe Sell Low, the WSJ‘s Tom Lauricella writes that, in the short history of bond ETFs, investors have tended to pay more than the underlying portfolio is worth. The […]

ETFs Deliver on Promise of Low Tracking Error

A recent Morgan Stanley report concluded that the weighted average tracking error for ETFs in 2008 was 39 basis points or 0.39%. In the blogpost ETFs stuck close to indexes despite 2008′s volatility, MarketWatch’s John Spence summarizes the findings from the report that looked at how well ETFs stayed close to their tracking indexes. One […]

Investing in Bonds with ETFs

For investors willing to look beyond cash for yield, bonds are the next step up the risk ladder. The WSJ‘s Jonathan Burton explores how ETFs can play a role in his article Using ETFs for Bond Bets. Building a diversified portfolio of individual bonds is hard and expensive for most investors, so funds are the […]

How to Make Money in ETFs

Money Magazine’s undercover financial planner recently answered the question How to Make Money in ETFs (and how not to). The undercover planner believes that financial advisers are not big fans of ETFs and regard them as a threat. With ETFs, individual investors can create a simple, low-cost portfolio that beats the pants off professionally designed […]

ETFs: What You Need to Know

New York Times reporter Tara Siegel Bernard provides a primer on ETFs in her article Exchange-Traded Funds: What You Need to Know. Bernard points out that many people like exchange-traded funds, or E.T.F.’s, for the same reasons they like index funds: they provide easy access to broad spheres of the market, while keeping costs and […]

Powered by WordPress. Designed by Woo Themes