Tag: ETF Investing

Markets Down More Than 8% To Start 2016! What You Should Do Now

Posted on by Matt Thalman

Matt Thalman - INO.com Contributor - ETFs


Buy! Buy! Buy!

We have all heard the saying, buy low, sell high, which is an easier to understand saying than Warren Buffett's famous quote, "Be fearful when others are greedy and greedy when others are fearful."

With the major US indexes all down more than 8% to start 2016, it would appear this is the time to follow the above-mentioned advice. Stock prices in general, based on the major indexes are 8% cheaper than they were just half a month ago, hence, buying today is buying low. Buffett's advice follows that idea and tells us to be greedy when others are fearful. The market is moving lower, indicating that the majority of investors are fearful of where stock prices will be in the future. If we follow Buffett's advice, this is a good time to be greedy.

I know what you are thinking, can't prices go lower from where they are today, giving you an even better opportunity to 'buy low' in the future. Yes, that obviously could happen. Continue reading "Markets Down More Than 8% To Start 2016! What You Should Do Now" →

2016 Outlook For MLPs And Pipelines

Posted on by Adam Feik

Adam Feik - INO.com Contributor - Energies


I suppose my 2016 outlook for MLPs and pipelines should begin with a mea culpa about something I wrote earlier in 2015. On September 24th, I wrote:

“I generally regard pipelines as being a historically defensive area of the stock market, comprised of relatively steady, fee-for-service businesses. (Pipeline companies’ stocks) may be receiving undue punishment in the midst of the oil crash of the past 15 months. (Their) prices are down about 16% since June 20, 2014, compared to nearly a 38% decline for the overall energy sector, and a 63% crash in oil prices.”

The First Trust North American Energy Infrastructure ETF (EMLP) closed at $22.17 that day; and while EMLP did rise to nearly $24 over the next couple weeks, it then plateaued in October and plunged below $20 again by December 4th. It closed Tuesday at $20.15.

I regret having used adjectives like “defensive” or “steady” to describe these stocks. The past 7 or 8 months have certainly demonstrated otherwise!

The jury is still out on whether these stocks are “receiving undue punishment,” though. Perhaps 2016 will provide the verdict on that. Continue reading "2016 Outlook For MLPs And Pipelines" →

3 Healthcare ETFs That Make A Complicated Industry A Lot Easier

Posted on by Matt Thalman

Matt Thalman - INO.com Contributor - ETFs


With new light being shined on the healthcare industry due to the recent mega-deal between Pfizer (PFE) and Allergan (AGN), and Presidential candidates raising concerns about the prescription drug companies gouging prices, there has never been a better time to start considering an investment in the healthcare industry. Increased concerns about price gouging by biotechnology and pharmaceutical companies, has lowered the share prices of these stocks, giving you a better entry point than in the recent past.

While in the past you may have avoided the industry due to it's crowded and overly complicated companies, using Exchange Traded Funds (ETFs) can help reduce single stock risk while spreading your money out over a more diverse group of stocks.

So let's take a look at 3 Healthcare ETFs that will help you limit your risk while still investing in the healthcare sector. Continue reading "3 Healthcare ETFs That Make A Complicated Industry A Lot Easier" →

Three Industries That Will Suffer From A Fed Rate Hike And Which ETFs Avoid

Posted on by Matt Thalman

Matt Thalman - INO.com Contributor - ETFs


In recent weeks, the likelihood of a Federal Reserve interest rate hike has been increasing. I recently pointed out a few reason on why I believe the Fed will increase rates at the upcoming December meeting, which you can read here. I also have pointed out a few industries that would benefit from a rate hike and which corresponding ETFs that could benefit from such a move by the Fed.

So, today let's take a look at a few industries that will likely suffer from an interest rate increase and which ETFs you may want to avoid if the Fed makes a move. Continue reading "Three Industries That Will Suffer From A Fed Rate Hike And Which ETFs Avoid" →

Three Industries And A Few ETF's That Will Benefit From A Fed Rate Hike

Posted on by Matt Thalman

Matt Thalman - INO.com Contributor - ETFs


Based on economic data and what the Federal Reserve Committee members have been saying over the past few weeks, it would appear the US Central Bank is ready to increase interest rates for the first time since 2006. The Fed has held the benchmark rate near zero since 2008 to help spur economic growth. But with the US economy moving forward, the days of cheap money may be numbered.

I recently wrote about why I believe the Fed will raise rates at the December Fed meeting so today I would like to point out a few industries that could benefit from a rate increase and some ETF'S that focus on those industries. Continue reading "Three Industries And A Few ETF's That Will Benefit From A Fed Rate Hike" →