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Ron Rowland  

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  • Investors Should Avoid This New Fund-Of-Funds ETF [View article]
    A couple of points/errors:
    1) the 0.60% expense ratio includes the cost of the underlying ETFs - it is not "on top" of these fees
    2) the QGTA holdings are not static - the 47% stock /53% bond holdings will change on a monthly basis
    Oct 7, 2015. 12:27 PM | 2 Likes Like |Link to Comment
  • Goldman Sachs Enters The ETF Fray In A Compelling Way [View article]
    The thrust of your article appears to be about GS strategies and the GS indexes. These are not the first ETFs based on GS indexes. Just like for an S&P 500 Index ETF, it doesn't really matter if it is sponsored by State Street, Black Rock, ALPS, or GS - it's about the index.
    Sep 26, 2015. 03:57 PM | Likes Like |Link to Comment
  • Goldman Sachs Enters The ETF Fray In A Compelling Way [View article]
    These are not the first Goldman Sachs ETFs. It seems that everyone has already forgotten
    Sep 24, 2015. 11:30 AM | Likes Like |Link to Comment
  • MLP Screening - Did The Market Overreact To Some 10%+ Yielding MLPs And Should We Value Them Differently? [View article]
    Hmmm, SXE "current" annualized distribution of $1.60 vs calendar year 2015 "estimate" of $1.57. I don't see that as a blatant error, and I don't understand the math you are using that thinks $1.57 on an $8 price is 10%. As the table says - it is 19.6%.
    Aug 24, 2015. 09:19 AM | 8 Likes Like |Link to Comment
  • PowerShares DB G10 Currency Harvest Fund: In Tune With Forex [View article]
    "It should be noted that currently, this is the only ETF currency fund listed on the Seeking Alpha ETF Hub which utilizes a basket of major currencies."

    Really? How about...
    PowerShares DB US Dollar Index Bearish (UDN)
    PowerShares DB US Dollar Index Bullish (UUP)
    WisdomTree Bloomberg U.S. Dollar Bullish (USDU)
    PIMCO Foreign Currency Strategy Active (FORX)

    ...and if you are willing to overlook the "major", there are...
    iPath GEMS Index ETN (JEM)
    iPath Optimized Currency Carry ETN (ICI)
    iPath Asian & Gulf Currency Revaluation ETN (PGD)
    iPath GEMS Asia 8 ETN (AYT)
    WisdomTree Emerging Currency Strategy (CEW)
    WisdomTree Commodity Currency Strategy (CCX)
    Aug 18, 2015. 11:16 AM | 2 Likes Like |Link to Comment
  • ETF Deathwatch For July 2015: Old Age Is Not A Free Pass [View article]
    Yes, I see what you mean. I never tried sorting by those columns before. The sort is a built-in function, so I may have to add leading zeros or some other inelegant fix.
    Jul 30, 2015. 06:52 PM | Likes Like |Link to Comment
  • Taking A Look At Kevin O'Leary's New ETF [View article]
    Shouldn't you reduce the expected yield on OUSA by the expense ratio (3.2-0.48=2.72%) for a better fund-level comparison?
    Jul 16, 2015. 08:40 AM | Likes Like |Link to Comment
  • ETF Deathwatch For June 2015: List Grows To 323 [View article]
    Yes, duplication in the mutual fund space made sense once upon a time, since accounts were opened directly at the fund firms, and each company wanted to have an S&P 500 fund to keep assets in house and not go to Vanguard. However, with ETFs traded through brokerage accounts it makes less sense to duplicate another firm's offering.
    Jun 19, 2015. 03:18 PM | Likes Like |Link to Comment
  • ETF Deathwatch For June 2015: List Grows To 323 [View article]
    There is always that possibility. Historically, ETRACS has only closed ETNs with less than $20 million in AUM.
    Jun 18, 2015. 10:19 AM | Likes Like |Link to Comment
  • ETF Deathwatch For June 2015: List Grows To 323 [View article]
    DVHL has about $30 million in AUM and averages more than $200,000 in daily trading activity. Both its AUM and trading activity have been keeping it off of Deathwatch.

    DVHI averages less than $1,400 in daily trading - a difference of a couple orders of magnitude.
    Jun 17, 2015. 11:02 AM | Likes Like |Link to Comment
  • ETF Deathwatch For May 2015: Back Above 300 [View article]
    I do not believe it is necessarily "easier" for an ETN to dissolve without proper resolution to shareholders. The only way I know for them to do this is to 1) declare bankruptcy, or 2) default on the payment at maturity (typically 20-30 years after being issued).
    May 27, 2015. 09:00 AM | Likes Like |Link to Comment
  • How To Beat The Market With Sector Rotation [View article]
    that is easy to explain. In the 10-year time period shown, the smaller weighted sectors within the S&P (energy, materials, etc) outperformed the larger weighted sectors (health, financials, tech).
    May 12, 2015. 03:19 PM | 1 Like Like |Link to Comment
  • MLPA: Another C-Corp. Double Taxation ETF [View article]
    Shareholders do get current yield of 6.5% or whatever it is today. However, that has historically been more than the tax bite. They take the tax expenses out of the NAV instead of out of the income stream.
    Apr 9, 2015. 01:32 PM | Likes Like |Link to Comment
  • Rule Of 240 [View article]
    Not really. The annual return can be generated in any manner. It works for buy & hold as well as day-trading and all points in between.

    The fuzziness you refer comes into play in the annual return, not the mathematics behind the Rule of 240. (Note: see other discussions regarding adjusting for inflation. Similar adjustments can be made for tax considerations).
    Apr 6, 2015. 08:38 AM | Likes Like |Link to Comment
  • Rule Of 240 [View article]
    To all, re: inflation adjustments

    The article referred to an "investment" gaining 10x, but in reality it could be anything in nature that compounds - including inflation.

    Inflation at 3% a year would be 10x after 80 years (240/3). Or if you prefer to think of it in terms of diminishing value, your $1 will be worth 10 cents in 80 years at 3% inflation.

    To Rule of 240 still applies, you will just need to adjust for inflation to get to the "real" return. For example, a 12% nominal return takes 20 years to increase 10x. With 3% inflation, your 12% nominal becomes a 9% real return and the years to 10x becomes 240/9= 26.7 years.

    You can also use it to provide a reality check to clients that believe their $100k is going to turn into a $1 million retirement fund at 5% a year. With no inflation, that lofty goal requires about 48 years. With 3% inflation and a 2% real return, it quickly extends to multiple lifetimes (240/2 = ?? the answer is left as an exercise for the student).
    Apr 2, 2015. 08:35 AM | 9 Likes Like |Link to Comment