The technology focus for this ETF drove it to substantial outperformance over most trailing periods. The emphasis on technology has been absolutely exceptional for returns over the last year. Investors have become increasingly enamored with the technology sector. This emphasis is driving up PE ratios for technology companies. Investors will be thrilled by the massive capital gains.
The First Trust Dow Jones Internet Index Fund (FDN) has destroyed other technology funds for over a decade. FDN, while not being pure technology, has kept up with other technology ETFs and returned over 30% this last year. The top holdings of Amazon and Facebook have helped FDN outperform other technology ETFs. The ETF is materially too expensive today. Investors should wait for a material decline in PE ratios.
Source: Seeking Alpha
Related Articles:
- Rising Dividends = Rising Returns
- High-Yield, High-Return Investments To Increase Income While Waiting On Dividend Growth
- Illinois Tool Works Inc. (ITW) Dividend Stock Analysis
- The Most Dangerous Investment
- 9 Dividend Stocks Beating The 4% Rule
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
In this series, we look through the most recent Dividend Channel ''DividendRank'' report, and then we cherry pick only those...
-
Owning dividend stocks can be a great way to both generate cash flow and beat the market long term. And if you can find stocks that are over...
-
I wanted to find an ideal list of stocks with high dividend yields. The stocks would have to be cheap as well. And the dividends would have ...
-
Long-time readers know I’m a big fan of the insurance industry because of one quirk in their business model. Customers always pay premiums u...
-
“Cheap” stocks aren’t necessarily the best cheap stocks to buy. And dividend stocks, even those with a high payout, aren’t necessarily safe....
-
Investors tend to gravitate to dividend stocks, particularly when those equities increase their payout on an annual basis. When these types ...
-
The markets have been doing very well over the past several weeks, and finding some good bargains has been a bit challenging of late. Howeve...
-
This company's management has raised the quarterly distribution 71 straight quarters, 22 straight years - it will be a Dividend Aristocr...
-
These dividend stocks tick both boxes: a very high yield and a bullish outlook from the Street. This is pretty crucial as not all dividend s...
-
We routinely cover earnings reports at The REIT Forum. Staying on top of new developments is one of the reasons we are able to find such att...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.