Financial ETFs have been among the major winners for upwards of a year; however, their success continues with financial ETFs becoming the best-performing sector in the most recent quarter. Small stocks overtook large caps and value impressed more than growth in the mot recent quarter.
Among the most successful ETFs, the SPDR KBW Bank ETF, which possesses such holdings as Bank of America Corp., Citigroup Inc., Wells Fargo, and J.P. Morgan Chase & Co. established itself as a major player. The fund rose by more than 22 percent in the first quarter of the year as banks flourished beneath the low short-term interest rates and lower credit losses. Bank stocks have been on the rise as more people become confident in the global economic recovery though the threat of the big banking overhaul remains an obstacle.
This positive trend is likely to continue as Friday’s positive unemployment numbers and predictions of bank profitability in the latter half of 2010 is expected to continue to drive up financials.
About EQUITIES:
Since 1951, EQUITIES Magazine has been a leading media company providing business editorial content designed to serve the needs of business leaders, professionals, institutional investors and retail investors. We are focused on business and the business of making money, not on lifestyle subjects. We publish original reporting in print and on our website, as well as select content at www.nasdaq.com. For 28 years we have hosted our own branded investor conferences that connect public company CEO’s with our loyal readers in the investment community.
Sign up for a free one-year subscription
