How To Fight Inflation With ETFs

Many market participants, including the Federal Reserve Board members, believe that inflation is coming. The questions at this point we would love to have answers to are, how bad will it be, will the Fed be able to control it, and how long will we experience a period of high inflation.

For years, the Federal Reserve has told us they wanted to see 2% or higher inflation, and for years we were below their benchmark goal. The Covid-19 Pandemic stimulus packages, combined with very low-interest rates and the low supply of material and goods due to Covid-19 shutdowns and the belief that demand would be weak following the shutdowns, we see prices from homes to cars to toys to obviously wood and other commodities sky-rocket.

So, it's easy to see that inflation is finally here, after years of the Fed trying to get it to move higher. But, now that it is here and it's clear the Fed had very little to do with it moving higher does anyone really have control of it? If no one does, then it could go much higher than most economists would like it to go, and it could stay that way for longer than most people would want it to? Continue reading "How To Fight Inflation With ETFs"

ARK Space ETF: The Good And The Bad

After making a call a few years ago, Cathie Woods has gone from “crazy lady” that Tesla would be worth more than $3,000 per share to investing superstar after her prediction came true in just a few years. Now she is entering into a whole new, truly unexplored realm with her newest ARK Invest Fund, the ARK Space Exploration & Innovation ETF (ARKX).

The first time I heard of this ETF, I was super interested in the idea that I could invest in the hot space exploration companies in a nicely bundled package without having to cherry-pick the winners and losers of this industry during its infancy. See, with most new or newer industries, a lot of the early companies don’t make it, while just a few of those first companies in the industry are the ones that go on and dominate the industry for years to come. But, how do you know when things are just getting started which company is going to go bust and which is going to be a big winner?

So, industry-specific Exchange Traded Funds help solve this problem because they allow you to invest in all the companies operating in that industry while spreading out the risk. And since space exploration, from a private business side, is still very young, this is the perfect way to play the Space industry. Continue reading "ARK Space ETF: The Good And The Bad"

ETF Play For The End Of The Pandemic

Imagine the pandemic ending. Well, I am sure you have already done that, maybe even a few times over the last 12 months.

The pandemic ended through whatever means, and now it is 'safe' to go live your life, similar to how we all did before last year.

What do you do? What do others do?

Maybe go out and party? Go on a vacation? Relax and over-indulge a little in some activities during the pandemic you couldn't or didn't want to do?

Well, perhaps, in a nutshell, be a little 'sinful'?

What you consider sinful may be different than others, but most likely, you're relaxing or celebrating will likely involve alcohol, to some extent. And it's not hard to see how a lot of other American's will be partaking in a drink or two the day the pandemic officially comes to an end. Continue reading "ETF Play For The End Of The Pandemic"

Play The Current Housing Boom With ETFs

Unless you've been living under a rock, you know that the housing industry is booming. Inventory is low, and prices are high! Over asking is now a standard term and contingency waivers are the only way you win those bidding wars with other buyers. Oh, and not to mention, if you find a house for sale, you better see it the first day it is listed, or you can forget about ever getting a chance because the number of days on the market is essentially zero at this point.

So how can you invest in this market without having to deal with this headache of a situation and risk overpaying for an asset class that historically only goes up 2% year-over-year?

Enter the world of Exchange Traded Funds!

There are several Exchange Traded Funds that you can buy today that will give you access to the businesses that are not only performing well right now but are still drooling at the current prospects that lay in front of them. In particular, the home builders. Continue reading "Play The Current Housing Boom With ETFs"

This Sector Has The "HIGH-est" Performing ETFs

We have seen a lot of wild things occur in 2021, but hey, shouldn’t we have expected that considering it’s the encore act to a truly unforgettable 2020?

With the way big technology stocks such as Apple (APPL), Roku (ROKU), Amazon (AMZN), and Alphabet (GOOG) performed in 2020, one may think these stocks would continue to be big winners during the early part of 2021. Therefore the technology-heavy Exchange Traded Funds would also be the best performers thus far. But that is not the case. Perhaps the Tesla (TSLA) effect on the electric vehicle market would continue to move forward with the Democrats, who are seen as a more environmentally friendly political party in the White and controlling the House and Senate. But that also hasn’t been the case.

The industry that has been on a tear since the start of 2021 is one that a few years ago was coined as “the next great industry,” but that fire quickly smoked out when valuations and expectations grew far too high, way too fast. However, now that the industry is a little more mature developed. Investors have more realistic expectations, combined with the prospects of the industry being able to “legally” operate in more states and countries around the world, and investors really do need to start looking at what it has to offer them and perhaps make an investment in it, before this weed grows high.

If you haven’t guessed yet or scrolled ahead, I am referring to the marijuana industry. I mentioned this industry just a few months ago as one you may want to start watching, and I am reiterating that idea today. While some investors may want to go into this newer industry cherry-picking stocks, I believe the Exchange Traded Funds that focus on this industry are the best way to invest in this growth industry.

Oh, and have I mentioned these marijuana ETFs are the best performing non-leveraged ETFs year-to-date? Let’s take a look at some of them and which ones I personally prefer as an investment option. Continue reading "This Sector Has The "HIGH-est" Performing ETFs"