Entering text into the input field will update the search result below

Why ETF Consultancy Is Vital For Investors

Jul. 22, 2013 7:54 AM ET
Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Exchange Traded Funds have become a major cause for bringing a revolution in the investment Industry. There is an increase in the number of financial brand wagons available in the Global market that tracks all types of Industries. ETF Consulting is becoming increasingly important only due to the impact of this financial trend. A large number of ETF's are now finding a place as investor's basket of Portfolios. There are numerous of these available in this industry sector at the disposal of the investors and it becomes all the more necessary to help the investor choose from the available financial vehicles. ETF consulting helps to choose and create a tailor made portfolio according to the performances and ensures that they live up to the financial needs and expectancy ratio of the investor. Consulting requires the proper analysis of the project dimensions of the Portfolios in question. Combining the relevant inputs and data and drawing conclusions with methodological accuracy to harmonize with the investors' expectations, as the swarming markets of the ETF's require a proper vigilance.

It is seen that though these exchange funds are the most popular among the investors, the net investments are concentrated thickly among the top most in the ETF Industry. The reputation of this industry stands robust due to its low cost and intra-day trading facilities. Most importantly with a high efficiency in tax. They are simple and easily attract. An example of this attraction is seen with the contribution of the Institutional investors like the Pension Funds Managers and Capitalists who contribute to the economic activities of the laws of supply and demand.

As a means for Short term Investments these funds are quite tricky and hence consulting services are mandatory. They provide proper education of the portfolio under consideration. If you are looking for a Short term investment and a highly liquid portfolio then these investments may not be the right decision.

Similarly investing in the new emerging markets requires a proper study and research before investing. If the ETF has more than fifty percent exposure to the foreign equity it becomes all the more necessary to guide your investors properly of the risks involved. But all the same, it gives you the exposure to a very potential market, and adds a tinge of diversity to your present basket. The investee get exposed to a whole new horizon and foreign experience like the China consumer Funds and the Uranium mining funds. The list of these preferred funds is enormous.

Then there are some investors which only want to invest for the purpose of hedging against the inflation. Commonly noticed by everyone, the prices of the precious metals have only risen in the years, as far as historical researches certify. These precious metals have never seen any decline in their prices. Such investments leave an impression of safety and security.

The ETF Research used by a large number of advisors have helped to develop investment programmes which are used to help deliver effective asset management programmes and also to help cost savings for the investors. These researchers are handled by professionals who customize the requirement of their customers.

Most exchange traded funds have the authority to implement marketing fees but these fees are quite nominal as compared to the conventional funds.The Equity Markets are at present flooded with various offers that are easily accessible. Professional Consulting services are becoming mandatory for the vigilant investors. Some of these instruments are managing huge funds of the assets under management (AUM).A good consultant will help you manage your resources by analyzing your rate of risk tolerance and build strategies according to the client's preference. A balanced risk profile is drawn which in turn helps in generating solid returns.

Toroso Investments is a New York Based ETP Consultancy firm. It is registered under the Securities and Exchange Control [SEC] and operates under the combined supervision of Industry veterans like Larry Medin, Dan Carlson and Michael Venuto. The goal of these portfolios would be to target a specific yield while returning principal at a target date. The officials at Toroso Investments claim that their USP lies in extensive ETF Research work and the Point of View Investing which they believe will radically change the existing norms of dialogue process between investors and advisors.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.