Matt Thalman, Author at INO.com Trader's Blog

ETFs to Buy, to Sell, and to Watch in 2017

Posted on January 6, 2017March 24, 2021 by Matt Thalman

Now that we have rung in the New Year, now is a good time to take a look at your portfolio and make some adjustments. But, before you start buying and selling, you need to know what to buy, what to sell and what you should have on hold.

So with that in mind, let's take a look at a few Exchange Traded Funds you may want to buy, a few you should sell, and a couple that you should have in your hold or watch list.

What To Buy

In 2016 one of the top-performing ETFs was the Direxion Daily Regional Banks Bull 3X Shares (PACF:DPST). DPST rose more than 114% in 2016 due to its exposure to regional banking stocks, and of course is three times bullish leverage. And while most of the time I would tell you not to follow a trend from one year to the next, 2017 is going to be different. The banking stocks rose in 2016 for a number of reasons, but mainly because the economy grew stronger and interest rates rose.

There are no signs at this point indicating that neither of those trends will cease to continue in 2017, so ride this trend.

Ok, let's slow down and understand why this trend will continue to work. Continue reading "ETFs to Buy, to Sell, and to Watch in 2017" →

3 Big 'Exchange Traded Fund' Losers of 2016

Posted on January 3, 2017January 3, 2017 by Matt Thalman

While we all know the saying, 'past performance is not indicative of future results', taking a look back at what happened in the past is always a smart move. That is because as the other saying goes, 'those who do not know history are doomed to repeat it.' And the past mistakes we are about to discuss are certainly not mistakes you want to be repeating anytime soon.

So now that 2016 is over, let's take a look at a few of the worst performing Exchange Traded Funds during the year and see what we can learn from these epic failures.

The biggest Exchange Traded Fund loser of 2016 was Direxion Daily Junior Gold Miners Index Bear 3X Shares ETF (PACF:JDST) which lost an astonishing 97.95% of its value in 2016. The three times leveraged bear portfolio ran into a buzz saw in 2016 and lost investors some serious capital. At its last reporting the fund only had $84 million in assets under management, which is scary for a fund that has an inception date in October 2013. JDST attempted to inverse exposure to the Market Vectors Junior Gold Miners Index, which is a market capital weighted index of mining companies that receive at least 50% of their revenue from gold or silver mining. Furthermore, the index caps exposure to silver mining companies at 20% each quarter, meaning the index is 80% gold mining. Continue reading "3 Big 'Exchange Traded Fund' Losers of 2016" →

Top Performing ETFs of 2016

Posted on December 30, 2016March 24, 2021 by Matt Thalman

With 2016 coming to an end, let's take a look at a few of the top performing Exchange Traded Funds of 2016. With the major indexes up for the year; Dow Jones Industrial Average (DJI) up 14%, the S&P 500 (SP500) up 10.75%, and the NASDAQ (COMP) up 9%, one may think the top performing ETFs would be up just slightly more than that. But, that's not the case by a long shot.

The top 2016 ETFs are all up more than 100% year-to-date!

So, let's take a look at what performed well this past year and whether or not their performance will continue moving forward.

Shares of Direxion Daily Regional Banks Bull 3X Shares (PACF:DPST) have risen more than 114% year-to-date. The ETF focuses on US regional banking stocks but leverages its bullish exposure three times. What is interesting is that while DPST is up 114% year-to-date, it's up 107% over just the last three months. In the last three months the Presidential Election took place and Donald Trump's surprise victory has sent stocks in a number of industries higher. The banking industry had been demonized since the financial crisis and government regulation has really held back the industry. Trump told voters during the campaign that he would de-regulate, and many believe that includes the banking industry. Continue reading "Top Performing ETFs of 2016" →

A Few Crazy Niche ETFs, But May Be Worth Owning

Posted on December 7, 2016March 24, 2021 by Matt Thalman

Through my search to find great Exchange Traded Funds to tell I have run across a number of very niche ETFs that at first seem a little crazy. But after further research into some of them, they may have actually found a profitable market opportunity that you can now own.

Before we get into three of the more interesting ETFs, I would like to note that these ETFs are on the riskier side and it really wouldn’t be prudent for investors to go "all-in" with these funds.

Now that we have gotten the disclosure out of the way let's dig in. Continue reading "A Few Crazy Niche ETFs, But May Be Worth Owning" →

OPEC Tensions Sending Oil On A Ride; A Few ETF's To Play The Move

Posted on November 30, 2016November 30, 2016 by Matt Thalman

On Tuesday Iran wrote a letter to Saudi Arabia asking them to curtail their oil production by as much as 1 million barrels a day, which is much more than the Saudi's are willing to cut production according to Reuter's sources.

That news sent the price of oil down 3.91% while Brent fell 3.77% on Tuesday. This followed a meeting which sources say took place on Monday between Saudi Arabia, Iran, and Iraq, the Organization of the Petroleum Exporting Countries three largest producers. OPEC is set to meet Wednesday, November 30th to discuss plans on how and who will cut production in an attempt to increase the price of oil. The announcement that a production cut would come at the November meeting was announced weeks ago when OPEC meet briefly.

At the time some experts said a production cut would be hard to come by since none of the three big countries wanted to give up production, but despite doubt, the price of oil jumped to $50 a barrel on the idea that production would be reduced. Now that we are in the midst of the meeting and things don't look good for a production cut, oil is trading erratically and there is money to be made from the uncertainty.

While I certainly can't tell you which side of the trade you should be on, I can give you a few ideas of how to trade rising or falling oil prices moving forward. Continue reading "OPEC Tensions Sending Oil On A Ride; A Few ETF's To Play The Move" →

Author: Matt Thalman