Market volatility has been ratcheting up on economic uncertainty, and many investors are heading for the safety of the sidelines in cash.
Choppy markets can be frustrating for investors, who are hearing calls that buy-and-hold investing is dead.
With triple-digit gains and losses becoming the rule rather than the exception, it’s difficult to stick with long-term positions.
However, one columnist points out there are some ETFs that have held up extremely well during the volatile market conditions.
Jeff Reeves for MarkeWatch spotlights ETFs that have returned over 100% in the last three years:
- iShares Silver Trust (SLV). Since October 2008, SLV has jumped 270% as silver prices tripled from $10 an ounce, Reeves notes. While silver recently touched its record high over the summer, investors who are hedging against rising inflation may want to keep this physically-backed ETF on hand.
- SPDR Gold Shares (GLD). While not as impressive as SLV’s run, GLD has tacked on 100% over the last three years. The fund is also a good physically-backed holding that helps hedge against rising inflation rates.
- Market Vectors Gold Miners ETF (GDX). Similarly, GDX has gained 160% over the last three years. This ETF reflects equity gold miners.
- iShares MSCI Thailand Invest Mkt Index (THD). THD added on 120% since October 2008. Emerging markets are inherently riskier than U.S equities. The fund’s top five holdings make up 35% of total weightings.
- SPDR S&P Retail (XRT). XRT has grown 120% over the past three years. The fund has a balanced portfolio, holding each of its component stocks at around 1.5%, which helps diversify the fund.
- First Trust Dow Jones Internet Index (FDN). FDN is up 120% since October 2008. The fund holds some of the largest tech names. The ETF may experience continued upside as demand for tech devices and services grow.
Max Chen contributed to this article.