Richard Kang1's Comments RSS Syndication from SeekingAlpha.com http://seekingalpha.comuser/1570/comments http://seekingalpha.com/article/79450-etfs-commodities-and-dubai?source=feed#comment-177408 177408 Sat, 31 May 2008 20:01:22 -0400 http://seekingalpha.com/article/79450-etfs-commodities-and-dubai?source=feed#comment-176930 176930 Still, DW, I tend to lean a bit more towards your comments over JL's over Dubai. The region is a hodgepodge of basket cases with a few success stories hidden within. The diversification of Dubai beyond oil seems to be well into place and should lead down a path similar to Hong Kong and Singapore. My guess is that by the time oil tanks in a serious, long-term manner, Dubai and its masterplan will be fine. The comments above regarding the treatment of labor are certainly disconcerting and the images I saw won't be soon forgotten.]]> Fri, 30 May 2008 15:00:19 -0400 Still, DW, I tend to lean a bit more towards your comments over JL's over Dubai. The region is a hodgepodge of basket cases with a few success stories hidden within. The diversification of Dubai beyond oil seems to be well into place and should lead down a path similar to Hong Kong and Singapore. My guess is that by the time oil tanks in a serious, long-term manner, Dubai and its masterplan will be fine. The comments above regarding the treatment of labor are certainly disconcerting and the images I saw won't be soon forgotten.]]> http://seekingalpha.com/article/67613-talking-investment-principles-and-etf-strategies-with-richard-kang?source=feed#comment-124854 124854 Mon, 10 Mar 2008 17:59:33 -0400 http://seekingalpha.com/article/61734-socgen-and-the-perception-of-risk?source=feed#comment-116976 116976
But that only discusses the math/measurement problem. I wrote a blog entry quite a while ago about the shuttle disasters and how NASA put together some sort of risk management process to review what went wrong and how they can minimize similar problems in the future. I think it came down to taking a look at each step of the process (each step being further broken down into its own process) until every mechanical piece of equipment, every decision, every "everything" was dissected. You'd probably call that micromanagement to the extreme. But I suppose that's what had to happen because a shuttle blowup costs lives ... not to mention the enormous man-hours of work that went into the preparation for the mission. Will banks and hedge funds ever go to that extreme? I don't know if the pension fund overlords can twist the arms of the hedgies to make that happen. But on the banking side, you have to think of all the different parties (shareholders, regulators, politicians, etc.) who are wringing the necks of the brass at SocGen ... there I see greater potential for change. We'll see.]]> Mon, 18 Feb 2008 16:06:33 -0500
But that only discusses the math/measurement problem. I wrote a blog entry quite a while ago about the shuttle disasters and how NASA put together some sort of risk management process to review what went wrong and how they can minimize similar problems in the future. I think it came down to taking a look at each step of the process (each step being further broken down into its own process) until every mechanical piece of equipment, every decision, every "everything" was dissected. You'd probably call that micromanagement to the extreme. But I suppose that's what had to happen because a shuttle blowup costs lives ... not to mention the enormous man-hours of work that went into the preparation for the mission. Will banks and hedge funds ever go to that extreme? I don't know if the pension fund overlords can twist the arms of the hedgies to make that happen. But on the banking side, you have to think of all the different parties (shareholders, regulators, politicians, etc.) who are wringing the necks of the brass at SocGen ... there I see greater potential for change. We'll see.]]> http://seekingalpha.com/article/38837-the-defensive-investor-s-tool-new-canadian-etfs-inverse-exposure-to-emerging-markets?source=feed#comment-89274 89274
The portfolio advisor to the Horizon BetaPro products in Canada (both mutual funds and ETFs) is ProFunds out of the US, the same manager of the ProShares family of levered and inverse ETFs.

Yes, the fees for levered/inverse ETFs both in Canada and US are high in relative terms versus other more vanilla, non-levered ETFs for a number of reasons. I would only wonder if investors really care about fees in these cases if it's fair to assume that most investors who use levered/inverse ETFs are only in them for the very short-term. Would investors hold the levered long S&P 500 ETF when they can use something like SPY or a similarly cheap Vanguard fund/ETF? Only the somewhat sophisticated investor who wanted to free up cash for some "portable alpha"-type strategy would consider the levered long fund approach. Perhaps there are a few other similar reasons but not too many I think.

Despite what anyone might think about the relatively high fees, you can't deny that both BetaPro in Canada and ProShares in the US have been successful when you consider their assets under management growth from the inception of their ETF operations. These products are for active investors, not the low-cost, efficient market, Bogle/Malkiel followers. The success of these products, I think, proves that in the ETF space but especially with levered/inverse products, fee sensitivity is not the major issue.]]> Thu, 21 Jun 2007 10:01:28 -0400
The portfolio advisor to the Horizon BetaPro products in Canada (both mutual funds and ETFs) is ProFunds out of the US, the same manager of the ProShares family of levered and inverse ETFs.

Yes, the fees for levered/inverse ETFs both in Canada and US are high in relative terms versus other more vanilla, non-levered ETFs for a number of reasons. I would only wonder if investors really care about fees in these cases if it's fair to assume that most investors who use levered/inverse ETFs are only in them for the very short-term. Would investors hold the levered long S&P 500 ETF when they can use something like SPY or a similarly cheap Vanguard fund/ETF? Only the somewhat sophisticated investor who wanted to free up cash for some "portable alpha"-type strategy would consider the levered long fund approach. Perhaps there are a few other similar reasons but not too many I think.

Despite what anyone might think about the relatively high fees, you can't deny that both BetaPro in Canada and ProShares in the US have been successful when you consider their assets under management growth from the inception of their ETF operations. These products are for active investors, not the low-cost, efficient market, Bogle/Malkiel followers. The success of these products, I think, proves that in the ETF space but especially with levered/inverse products, fee sensitivity is not the major issue.]]> http://seekingalpha.com/article/18644-good-time-to-buy-vix-call-options?source=feed#comment-87487 87487 www.cboe.com/micro/vix...

If you run a google search, you'll likely find many more sites/blogs that cover VIX. Any brokerage firm, online discount or otherwise should be able to help you out with margin accounts to trade options.]]> Fri, 01 Jun 2007 13:04:10 -0400 www.cboe.com/micro/vix...

If you run a google search, you'll likely find many more sites/blogs that cover VIX. Any brokerage firm, online discount or otherwise should be able to help you out with margin accounts to trade options.]]> http://seekingalpha.com/article/35921-converting-closed-end-funds-to-etfs-has-the-trend-begun?source=feed#comment-86498 86498 Fri, 18 May 2007 08:42:56 -0400 http://seekingalpha.com/article/35804-are-derivatives-for-risk-management-or-is-risk-management-for-derivatives?source=feed#comment-86493 86493 Fri, 18 May 2007 08:32:40 -0400 http://seekingalpha.com/article/33387-why-i-m-against-fixed-income-etfs?source=feed#comment-85184 85184 thebetabrief.com so I can have all inquiries at one place. Sorry for quick get away but there's literally a scream beside me. Thanks.]]> Sat, 28 Apr 2007 09:33:46 -0400 thebetabrief.com so I can have all inquiries at one place. Sorry for quick get away but there's literally a scream beside me. Thanks.]]> http://seekingalpha.com/article/32995-etf-industry-continues-to-grow-quietly?source=feed#comment-84714 84714 Sun, 22 Apr 2007 16:58:51 -0400 http://seekingalpha.com/article/32485-in-search-of-an-actively-managed-etf-does-it-already-exist?source=feed#comment-84442 84442 Wed, 18 Apr 2007 00:16:37 -0400 http://seekingalpha.com/article/32020-vanguard-offers-four-new-bond-etfs?source=feed#comment-84199 84199
I'm sticking to my guns on this one though. For most retail investors = Equity core and explore: ETFs core, stock selection satellite. Fixed income core and explore: Laddered bond portfolio core, fixed income ETFs as satellites.]]> Fri, 13 Apr 2007 09:31:19 -0400
I'm sticking to my guns on this one though. For most retail investors = Equity core and explore: ETFs core, stock selection satellite. Fixed income core and explore: Laddered bond portfolio core, fixed income ETFs as satellites.]]> http://seekingalpha.com/article/32020-vanguard-offers-four-new-bond-etfs?source=feed#comment-84061 84061
Of course, DJ and AB, your comments are correct although AB I'm not so sure about the benefits of bond indexing for many retail investors. It's also interesting that despite the fact that, as you say, there's been an "inabliity of the industry to generate significant alpha" in the bond fund space, we're starting to hear of fund offerings that focus on some active management in this area. This includes Sage Advisors working with Ryan ALM on a bond index plus program as well as the well publicized Bear Stearns filing with the SEC for an actively managed ETF. I agree that, at least on the mutual fund front, we have little evidence of alpha generation, but the industry seems to want to go for it in the ETF arena. With preferred share ETFs, dividend focused ETFs and other yield focused fund offerings, perhaps this is another example of the market attempting to provide more than the relatively poor returns found in bond markets in recent years. With the demographic shift (retirement of baby boomers), yield will continue to be a significant objective for many investors. I see it as a parallel to the search for alpha. Product offerings will continue in the ETF space to deal with demand.]]> Wed, 11 Apr 2007 15:48:47 -0400
Of course, DJ and AB, your comments are correct although AB I'm not so sure about the benefits of bond indexing for many retail investors. It's also interesting that despite the fact that, as you say, there's been an "inabliity of the industry to generate significant alpha" in the bond fund space, we're starting to hear of fund offerings that focus on some active management in this area. This includes Sage Advisors working with Ryan ALM on a bond index plus program as well as the well publicized Bear Stearns filing with the SEC for an actively managed ETF. I agree that, at least on the mutual fund front, we have little evidence of alpha generation, but the industry seems to want to go for it in the ETF arena. With preferred share ETFs, dividend focused ETFs and other yield focused fund offerings, perhaps this is another example of the market attempting to provide more than the relatively poor returns found in bond markets in recent years. With the demographic shift (retirement of baby boomers), yield will continue to be a significant objective for many investors. I see it as a parallel to the search for alpha. Product offerings will continue in the ETF space to deal with demand.]]> http://seekingalpha.com/article/31559-interactive-q-a-jeffrey-l-feldman-creator-of-healthshares-and-founder-and-chairman-of-xshares-group-llc?source=feed#comment-83906 83906
With regard to ETFs that provide exposure to specific states in the union ... I wonder who the market for this type of investment is. From an asset allocation and portfolio construction perspective, it doesn't seem like a family of ETFs that easily fits within most investors' existing framework. My first guess would be going after various types of institutional investors (more of the smaller ones, I think). I suppose if you go to a number of California (as an example) pensions, endowments, government related organization, etc. they might have some sort of guideline that promotes local investment and then they might go for a California ETF. But in today's environment, institutions are looking globally for diversification so I don't know how much interest they would have for this ... and this is especially true for the bigger pensions like CalPERS or CalSTRS. Just curious on how you plan on marketing these.

Thanks for your time on this.]]> Tue, 10 Apr 2007 12:04:20 -0400
With regard to ETFs that provide exposure to specific states in the union ... I wonder who the market for this type of investment is. From an asset allocation and portfolio construction perspective, it doesn't seem like a family of ETFs that easily fits within most investors' existing framework. My first guess would be going after various types of institutional investors (more of the smaller ones, I think). I suppose if you go to a number of California (as an example) pensions, endowments, government related organization, etc. they might have some sort of guideline that promotes local investment and then they might go for a California ETF. But in today's environment, institutions are looking globally for diversification so I don't know how much interest they would have for this ... and this is especially true for the bigger pensions like CalPERS or CalSTRS. Just curious on how you plan on marketing these.

Thanks for your time on this.]]> http://seekingalpha.com/article/31231-market-concern-hedge-funds-bonds-and-etfs?source=feed#comment-83596 83596 Tue, 03 Apr 2007 08:23:15 -0400 http://seekingalpha.com/article/20711-investable-indices-an-improvement-on-hedge-fund-index-investing?source=feed#comment-82745 82745 Sat, 17 Mar 2007 22:17:53 -0400 http://seekingalpha.com/article/29365-evolution-and-defensiveness-in-the-etf-industry?source=feed#comment-82436 82436 Wed, 14 Mar 2007 12:14:47 -0400 http://seekingalpha.com/article/27263-all-in-all-it-s-just-another-bric-in-the-wall?source=feed#comment-81517 81517 Fri, 16 Feb 2007 08:20:56 -0500 http://seekingalpha.com/article/26628-questioning-jim-cramer-on-the-merits-of-etfs?source=feed#comment-81405 81405 Tue, 13 Feb 2007 17:37:57 -0500 http://seekingalpha.com/article/26270-comparing-base-metals-etfs?source=feed#comment-81190 81190 Wed, 07 Feb 2007 21:26:52 -0500 http://seekingalpha.com/article/26270-comparing-base-metals-etfs?source=feed#comment-81160 81160 Wed, 07 Feb 2007 12:54:43 -0500 http://seekingalpha.com/article/25465-more-on-ssga-s-new-infrastructure-etf?source=feed#comment-80811 80811 randomroger.blogspot.c...) that he has seen the same. Wouldn't it be funny (I guess not "ha ha" funny over at SSGA) if PowerShares or Claymore quietly launched their infrastructure ETF right about now? No, I don't have anything at all as evidence that either of them, nor anyone else, is working on an infrastructure ETF but something like that would not surprise me at this juncture of the ETF industry's development.]]> Tue, 30 Jan 2007 17:12:03 -0500 randomroger.blogspot.c...) that he has seen the same. Wouldn't it be funny (I guess not "ha ha" funny over at SSGA) if PowerShares or Claymore quietly launched their infrastructure ETF right about now? No, I don't have anything at all as evidence that either of them, nor anyone else, is working on an infrastructure ETF but something like that would not surprise me at this juncture of the ETF industry's development.]]> http://seekingalpha.com/article/25296-are-hedge-funds-driving-the-etf-industry?source=feed#comment-80784 80784 Tue, 30 Jan 2007 09:16:58 -0500 http://seekingalpha.com/article/25259-new-infrastructure-etf-from-ssga-a-closer-look?source=feed#comment-80684 80684 I know that many of the very largest pension funds have made significant investments into infrastructure but what about the many more smaller institutions? Are their investment consultants planning or currently implementing similar shifts in allocation? It wouldn't surprise me at all, especially as many investors (including hedge funds) look globally and especially in the emerging markets.
Bottom line with pensions is that the recent few years of good returns hasn't been strong enough to offset the simultaneous and more significant increase on the liability side of their balance sheet. Modern processes such as "liability driven investing" will drive further interest into areas like infrastructure for these types of extreme scale portfolios.
Will all this lead to some sort of overdone condition for value stocks and sectors such as infrastructure. Of course that's possible but this "ebb and flow" sine curve is part of the game. That's not for me or one person to comment on but for the market to comment on with their dollars invested.

C: You're totally right with Hong Kong. I only wonder what proportion of the total fund will be invested in these 4 HK positions. I hear a lot about the major airport, nuclear power plant, highway and water projects in China and these are found in the general mass media like the Economist or CNN so you'd think that a major ETF or CEF like this would somehow participate in a big way. But when you think about it, likely it's the private investment that is more effective in China since it's probably the best way to get in considering the various hurdles (corruption) related.

VS: Good comments but I'll focus on the fact that you've mentioned energy twice in your comment. Yes, further to my comments on significant product development in the ETF space related to the commodity complex, including both traditional and alternative energy, this could be another play especially if energy infrastructure (including utility companies) comprise a significant proportion of the fund. You have to wonder if the rules of diversification have to be thrown out the window in today's environment. You want to participate in energy and the commodity sectors if you believe more in Jim Rogers versus his naysayers. You want to have exposures to emerging markets because of the strong demographic story, higher overall growth numbers and beyond. You want to get into infrastructure for reasons I've posted above. But all are so highly correlated and probably correlated more than you think with what you already have in your portfolio. There is the school of thought that is very anti-diversification and most (rather all) hedge funds should be thinking this way if they are mandated to be beta-neutral. In other words, they don't build portfolios based on Markowitz MPT. Thus, they do NOT add investments based on their low correlation to other positions in the portfolio. The question is how many investors are thinking opportunistically in this manner? And if we're talking about significant numbers, will this create greater volatility on the upside as well as when the market eventually goes down? VIX is still cheap at just over 11.]]> Sun, 28 Jan 2007 16:10:22 -0500 I know that many of the very largest pension funds have made significant investments into infrastructure but what about the many more smaller institutions? Are their investment consultants planning or currently implementing similar shifts in allocation? It wouldn't surprise me at all, especially as many investors (including hedge funds) look globally and especially in the emerging markets.
Bottom line with pensions is that the recent few years of good returns hasn't been strong enough to offset the simultaneous and more significant increase on the liability side of their balance sheet. Modern processes such as "liability driven investing" will drive further interest into areas like infrastructure for these types of extreme scale portfolios.
Will all this lead to some sort of overdone condition for value stocks and sectors such as infrastructure. Of course that's possible but this "ebb and flow" sine curve is part of the game. That's not for me or one person to comment on but for the market to comment on with their dollars invested.

C: You're totally right with Hong Kong. I only wonder what proportion of the total fund will be invested in these 4 HK positions. I hear a lot about the major airport, nuclear power plant, highway and water projects in China and these are found in the general mass media like the Economist or CNN so you'd think that a major ETF or CEF like this would somehow participate in a big way. But when you think about it, likely it's the private investment that is more effective in China since it's probably the best way to get in considering the various hurdles (corruption) related.

VS: Good comments but I'll focus on the fact that you've mentioned energy twice in your comment. Yes, further to my comments on significant product development in the ETF space related to the commodity complex, including both traditional and alternative energy, this could be another play especially if energy infrastructure (including utility companies) comprise a significant proportion of the fund. You have to wonder if the rules of diversification have to be thrown out the window in today's environment. You want to participate in energy and the commodity sectors if you believe more in Jim Rogers versus his naysayers. You want to have exposures to emerging markets because of the strong demographic story, higher overall growth numbers and beyond. You want to get into infrastructure for reasons I've posted above. But all are so highly correlated and probably correlated more than you think with what you already have in your portfolio. There is the school of thought that is very anti-diversification and most (rather all) hedge funds should be thinking this way if they are mandated to be beta-neutral. In other words, they don't build portfolios based on Markowitz MPT. Thus, they do NOT add investments based on their low correlation to other positions in the portfolio. The question is how many investors are thinking opportunistically in this manner? And if we're talking about significant numbers, will this create greater volatility on the upside as well as when the market eventually goes down? VIX is still cheap at just over 11.]]> http://seekingalpha.com/article/24655-vanguard-bond-etfs-no-surprises-lowest-costs?source=feed#comment-80398 80398 You're both right of course. I've asked the editors to remove the ("VITBX") link after the first table. Hopefully with that revision, this becomes less confusing.]]> Mon, 22 Jan 2007 15:47:06 -0500 You're both right of course. I've asked the editors to remove the ("VITBX") link after the first table. Hopefully with that revision, this becomes less confusing.]]> http://seekingalpha.com/article/23346-etfs-are-hot-is-this-just-the-beginning?source=feed#comment-80066 80066 In this globalized world, correlations seem to be moving higher among asset classes and even active strategies. Thus, in major downturns, I wouldn't be suprised to see something similar to this past summer when most investors were hurt in many parts of their portfolio. Broad market ETFs will obviously fall with the major market indices but it will be interesting to see just how many of the sectors remain relatively buoyant during that time (if any). I don't expect mutual funds to do that well unless it's a fund that either allows some amount of shorting or relatively high cash balances. At the other extreme are the hedge funds. Their performance has been rather lacklustre during the past 4 years' bull market. No surprise there. It is during major market declines that we've seen hedge fund indices perform well compared to the broad equity indices. Whether one's particular hedge fund investment will provide that level of value during a time of severe distress is as hard to predict as one's ability to effectively select the right mutual fund investment.]]> Sun, 14 Jan 2007 22:17:30 -0500 In this globalized world, correlations seem to be moving higher among asset classes and even active strategies. Thus, in major downturns, I wouldn't be suprised to see something similar to this past summer when most investors were hurt in many parts of their portfolio. Broad market ETFs will obviously fall with the major market indices but it will be interesting to see just how many of the sectors remain relatively buoyant during that time (if any). I don't expect mutual funds to do that well unless it's a fund that either allows some amount of shorting or relatively high cash balances. At the other extreme are the hedge funds. Their performance has been rather lacklustre during the past 4 years' bull market. No surprise there. It is during major market declines that we've seen hedge fund indices perform well compared to the broad equity indices. Whether one's particular hedge fund investment will provide that level of value during a time of severe distress is as hard to predict as one's ability to effectively select the right mutual fund investment.]]> http://seekingalpha.com/article/22735-first-ever-international-real-estate-etf-launched?source=feed#comment-79403 79403
I will first admit that even as a practioner of investment/portfolio management, I am far from the best qualified to make comments with regard to taxes. However, your question is an important one as it pertains to asset location ... for most investors as important as asset allocation. Specific to your question, I've always made a rule of thumb that REITs (REIT ETFs or related real estate securities) are to be considered not tax efficient and thus should generally be held in tax deferred accounts. I don't know what RWX will provide in terms of distributions but I would look into how funds like NGREX have done. Something like Morningstar might be able to help provide the data with regard to a list of similar funds for your to do your analysis.]]> Tue, 26 Dec 2006 20:36:06 -0500
I will first admit that even as a practioner of investment/portfolio management, I am far from the best qualified to make comments with regard to taxes. However, your question is an important one as it pertains to asset location ... for most investors as important as asset allocation. Specific to your question, I've always made a rule of thumb that REITs (REIT ETFs or related real estate securities) are to be considered not tax efficient and thus should generally be held in tax deferred accounts. I don't know what RWX will provide in terms of distributions but I would look into how funds like NGREX have done. Something like Morningstar might be able to help provide the data with regard to a list of similar funds for your to do your analysis.]]> http://seekingalpha.com/article/22735-first-ever-international-real-estate-etf-launched?source=feed#comment-79402 79402 I'll do you one better. Go to bigcharts.com. There might be an advertisement page that you have to pass through. Once you're in, type RWR at the top of the page and click on the "Advanced Chart" red button. A 1-year chart for RWR will be produced. On the left side, click on the dark blue "Compare To" button. You'll see a drop down menu for market indices as well as a place to enter ticker symbols. Here, in this space, you can enter "NGREX EFA SPY" (of course, without the quotation marks). Then click the orange "Draw Chart" near the top left of the screen.
You should get this chart (I hope):
bigcharts.marketwatch....;compidx=aaaaa%3A0&...

The chart looks rather like March/April 2006. If you change the timeframe on bigcharts to 4 years you see that RWR has had some fairly significant drawdowns (April 2004, August-October 2005, December 2006) however is still well within a channel that began near the end of 2002. Nothing too different from EFA and SPY over this 4 year period. RWR certainly does seem to behave like a high beta stock compared to the S&P 500. Makes me wonder if RWX will behave like a high beta stock within MSCI EAFE. Likely so.]]> Tue, 26 Dec 2006 20:25:01 -0500 I'll do you one better. Go to bigcharts.com. There might be an advertisement page that you have to pass through. Once you're in, type RWR at the top of the page and click on the "Advanced Chart" red button. A 1-year chart for RWR will be produced. On the left side, click on the dark blue "Compare To" button. You'll see a drop down menu for market indices as well as a place to enter ticker symbols. Here, in this space, you can enter "NGREX EFA SPY" (of course, without the quotation marks). Then click the orange "Draw Chart" near the top left of the screen.
You should get this chart (I hope):
bigcharts.marketwatch....;compidx=aaaaa%3A0&...

The chart looks rather like March/April 2006. If you change the timeframe on bigcharts to 4 years you see that RWR has had some fairly significant drawdowns (April 2004, August-October 2005, December 2006) however is still well within a channel that began near the end of 2002. Nothing too different from EFA and SPY over this 4 year period. RWR certainly does seem to behave like a high beta stock compared to the S&P 500. Makes me wonder if RWX will behave like a high beta stock within MSCI EAFE. Likely so.]]> http://seekingalpha.com/article/22300-water-etfs-are-going-global?source=feed#comment-79350 79350
"The Palisades Global Water Index is a modified equal-dollar weighted index comprised of 54 stocks, diversified across 19 economies and 12 currencies. The index is rebalanced each March, June, September and December."]]> Thu, 21 Dec 2006 22:34:44 -0500
"The Palisades Global Water Index is a modified equal-dollar weighted index comprised of 54 stocks, diversified across 19 economies and 12 currencies. The index is rebalanced each March, June, September and December."]]> http://seekingalpha.com/article/22735-first-ever-international-real-estate-etf-launched?source=feed#comment-79333 79333 RWX) simply allows investors to diversify globally. I see it like an investor who has an SPY portfolio now adding EFA for broad international exposure.

With regard to past performance, take a look at this chart (hope this works): bigcharts.marketwatch....;compidx=aaaaa%3A0&...

This chart is similar to the last chart from my piece above except I have replaced the DJ-Wilshire ex-US Real Estate Securities Index with RWR. As you can hopefully see, RWR has also outperformed the SPY and EFA over this period but not as much as its international counterpart.

More info on the new ETF can found here: www.ssgafunds.com/etf/...]]> Thu, 21 Dec 2006 10:43:57 -0500 RWX) simply allows investors to diversify globally. I see it like an investor who has an SPY portfolio now adding EFA for broad international exposure.

With regard to past performance, take a look at this chart (hope this works): bigcharts.marketwatch....;compidx=aaaaa%3A0&...

This chart is similar to the last chart from my piece above except I have replaced the DJ-Wilshire ex-US Real Estate Securities Index with RWR. As you can hopefully see, RWR has also outperformed the SPY and EFA over this period but not as much as its international counterpart.

More info on the new ETF can found here: www.ssgafunds.com/etf/...]]>