CHICAGO, IL – September 1, 2022 – Zacks.com has announced a list of securities to be featured in an analyst blog. Every day, Zacks Equity Research analysts discuss the latest news and events affecting stocks and the financial markets. ETFs recently featured on the blog include: AdvisorShares Psychedelics ETF PSIL, Credit Suisse S&P MLP ETN MLPO, ETFMG US Alternative Harvest ETF MJUS, North Shore Global Uranium Mining ETF URNM, and iShares US Oil & Gas Exploration & Production ETF IEO.
Here are the highlights from Thursday's analyst blog: The top 5 industrial ETFs for AugustAugust was a month of instability. After a strong start to the month, Wall Street experienced a sharp sell-off amid renewed aggressive speculation of a Federal Reserve rate hike, causing major indices to end the month in losses.
Despite the losses, some sector ETFs rose in August.
How were the markets in August?Wall Street continued its summer rally that began in August, buoyed by better-than-expected corporate earnings and hopes the economy can avoid a recession even if the Federal Reserve hikes interest rates to tame inflation. Falling inflation, falling Treasury yields and falling commodity prices are driving stocks. Notably, the Nasdaq Composite entered a bull market earlier this month as the Dow Jones revisited the 34,000 mark (read: ETF Gains To Spark The Early Second Half - Here's Why?).
However, the rally has stalled in recent weeks due to the Federal Reserve's aggressive stance on monetary policy and renewed threats of recession. Jerome Powell said the Fed will likely need to keep interest rates high enough to slow the economy "for a while" to curb high inflation. While tighter monetary policy will bring inflation down from its 40-year high "for a while" it means slower growth, a weaker labor market and "a bit of pain" for workers, households and businesses.
According to CME's FedWatch tool, nearly half of market participants expect the headline interest rate to end above 3.7%, up from 40% of respondents last week. The Fed has raised the key federal funds rate by 0.75 percentage points in each of the last two meetings, to a range of 2.25% to 2.5%.
The story goes on
AdvisorShares Psychedelic ETF - 28.8%
The AdvisorShares Psychedelics ETF invests in the burgeoning psychedelics industry by providing exposure to biotech, pharmaceutical and biologics companies that we believe are at the forefront of this burgeoning industry. It's actively managed and has 33 stocks in its business basket with a double-digit bias in the top two companies.
The AdvisorShares Psychedelics ETF has raised $9.8 million to its asset base since its inception a year ago and charges 68 basis points in annual fees. Trade an average trading volume of 36,000 shares.
Credit Suisse S&P MLP ETN - +23%
Amid stock market volatility, this forgotten corner of the market is making great strides. MLPs have relatively consistent and predictable cash flows, making them safer and less risky than other games in the broader realm of power. They represent an attractive investment opportunity for income-oriented investors, as MLPs regularly pay out almost all of their income to investors. In addition to higher returns and potential capital appreciation, MLMs also exhibit lower volatility and offer portfolio diversification benefits.
The Credit Suisse S&P MLP ETN is linked to the S&P MLP Index, which includes both publicly traded limited companies and limited companies that have a similar legal form to an MLP and share the same tax benefits. It is unpopular and illiquid in the MLP space, with $29.7 million in assets under management and an average daily volume of nearly 1,000 shares. The grade fee is 95 basis points as an annual fee.
ETFMG US Alternative Harvest ETF - up 12.6%.
With the bargain hunting and returns earlier this month, marijuana stocks are up significantly. ETFMG US Alternative Harvest ETF is designed to give investors exposure to cannabis companies operating in the United States, including multinational operators (MSOs) directly involved in the cultivation, production, marketing and distribution of cannabis or cannabis-related products . It has 26 stocks in its business basket with a strong focus on three companies.
Alternative Harvest US ETF has raised $77.5 million in its asset base and charges 75 basis points in annual fees. Trade 10,000 shares daily.
North Shore Global Uranium Mining Corporation - Up 11.8%
Uranium ETFs are gaining momentum as more countries around the world plan to restart their nuclear reactors amid a growing energy crisis. The North Shore Global Uranium Mining ETF provides exposure to companies that mine, explore, develop and produce uranium, as well as companies that own physical uranium or other non-mining assets. It tracks the North Shore Global Uranium Index and charges investors an annual fee of 85 basis points (read: Global Energy Crisis Boosts Uranium ETFs).
The North Shore Global Uranium Mining ETF has 35 stocks in its basket and has accumulated $936.5 million in its asset base. Trade good volume averaging 259,000 shares per day.
iShares US Oil & Gas Exploration & Production ETF - +7.7%
The energy sector edged higher as oil prices rose on possible OPEC+ production cuts and the threat to global supplies from unrest in Libya. The iShares US Oil & Gas Exploration & Production ETF provides exposure to US companies involved in the exploration, production and distribution of oil and gas. The Dow Jones US Select Index tracks oil exploration and production and has 50 stocks in its basket. The iShares US Oil & Gas Exploration & Production ETF focuses on the first company, while the remaining companies own less than 9% of the shares.
The iShares US Oil & Gas Exploration & Production ETF has total assets of $1 billion and trades an average daily volume of 254,000 shares. The fund charges a fee of 39 basis points per year and has one Zacks ETF ranked #1 (Strong Buy) with high risk expectations (read: 5 Best Stock ETFs in August).
Want important ETF information delivered straight to your inbox?
Zacks' free newsletter keeps you up-to-date with the latest breaking news and analysis, as well as top-performing ETFs, every week.
Download for free >>
Connect with the media
Zacks Investment Research
800-767-3771 Estimate 0.9339
support@zacks.com
https://www.zacks.com
Past results are not indicative of future results. The potential for loss is inherent in every investment. This document is provided for informational purposes only and nothing in this document constitutes investment, legal, accounting or tax advice or a recommendation to buy, sell or hold any instrument. There is no recommendation or advice as to the suitability of the investment for a specific investor. It should not be assumed that an investment in any particular security, company, sector or market described has been or will be profitable. All information is current as of the date of this document and is subject to change without notice. Any views or opinions expressed may not reflect the views or opinions of the company as a whole. Zacks Investment Research is not engaged in investment banking, market making or securities portfolio management. These returns come from virtual portfolios composed of Zacks = 1 stocks that are rebalanced monthly with no transaction fees. This is not the actual return on the stock portfolio. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for more information on the performance figures presented in this press release.
Want the latest advice from Zacks Investment Research? Today you can download the 7 best promotions for the next 30 days. For this free ETF report, click here ETFMG US Alternative Harvest ETF (MJUS): AdvisorShares Research Reports Psychedelics ETF (PSIL): ETF Research Reports To read this Zacks.com article, click here. Zacks Investment Research
Post a Comment
Post a Comment