Dunvegan

Low Volatility ETFs: Healthcare, Utilities, Staples Reduce Portfolio Risk

Yes, its very intersting to see the defensive's now, but it would have been better to have been invested in them before the crash! By selling out of your higher risk ETF's and buying these, all you're doing is buying lower returns going forward. While it is true emerging markets have been hit the hardest, investors looked to invest there because the growth prospects were better than the US markets - and they were! However, the simple fact is that the whole world is still tied to the US, whether we like it or not. Buying foreign equities, divirsifies your equity exposure but these equities are not a different asset class. For true diversifiction, you need to be invested in different asset classes as well as different geographical locations within the equity component of your portfolio.

Opportunities in a High Correlation World

Great article Geoff. Your opinions arealways backed up with data which I greatly appreiate. Any suggestions on low beta stocks? Where do we get the qaunts to evaluate stocks?

Shot on Goal: An ETF Warren Buffett and Wayne Gretzky Might Like

Banks use prefs to raise capital in the market subject to limitations imposed by Basel capital adequacy requirements, thats why it is heavilly skewed towards financials. The prefs are normally issued with a defined yield. If a bank defaults on its pref div payments it usually means its gone bankrupt - which up until recently, was considered remote! Prefs are used quite extensively in South Africa as a tax effective way to earn an income, as dividends are not taxed in the hands of the investor.