A resource for debunking the investments myths peddled by the financial press and Wall Street hype and presenting rational,sensible investing approaches based on sound research and academic findings.
This blog is maintained by Lawrence Weinman MBA an independent Registered Investment Advisor www.lweinmanadvisor1.com
I wrote a few weeks ago in an
optimistic tone on Europe and Germany perhaps a bit optimistically. The Germany
ETF (EWG) is down year to date. The
reason most cited for the declione is the Ukraine crisis. Export to the Ukraine
make up 1.3% of German GDP and major German companies are more dependent on
Asia than exports ot the rest of Europe.
With such large declines in German
stocks it might be time for long term investors to take a look
Data for he week ending August 6
reported record outfolow from high yield bond ETFs
.WSJ August 16http://online.wsj.com/articles/investors-pour-680-million-into-u-s-junk-bonds-in-latest-reporting-week-1408052063
Investors Pour $680
Million Into U.S. Junk Bonds in Latest Week Latest Inflows Snap Four Weeks of Declines
Investors poured $680 million
into funds dedicated to low-rated corporate debt in the week ended on
Wednesday, according to fund tracker Lipper, snapping four weeks of declines
that included the previous week's record $7.1 billion weekly outflow.
pointed to a change in sentiment in early August for so-called junk bonds, as
institutional buyers stepped in hunting for bargains. U.S. high-yield bonds
lost 1.33% in July, but
Past Three Months
High Yield ETFs Last Three Months Total Return
JNK . 9%
HYG 3 Months Price
Risk Off Trades Change Their Character A Bit
Generally markets concerned with political uncertainty go
into risk off” mode selling lower credit bonds and buying government bonds and
selling emerging market stocks.