Mondays are all about ETFs here at Abnormal Returns. You can check out last week’s links including a look at ‘The Clash’ of the ETF world.
Quote of the Day
"The best strategic-beta funds are cheap, transparent, effectively capture the factor(s) of interest, and take steps to mitigate unnecessary turnover and risk, such as large sector or country concentration."(Alex Bryan)
Chart of the Day
The big five ETF issuers have very different business mixes.
- Smart beta was big in 2017 but plain vanilla garnered the bulk of AUM. (beta.morningstar.com)
- ETF sector returns in 2017 were pretty wide. (macromon.files.wordpress.com)
- ESG ETFs made progress in 2017. (etf.com)
- Eric Balchunas, "In five years, I believe you’ll be able to have a full portfolio of ETFs for only 1 or 2 basis points. That will be good for investors, but rough for the industry. You will also see stuff put into ETFs that you didn’t realize was stuff. Anything in Wall Street brain cells will be ETF-ized. Probably 19 will fail, but the one that wins will keep the system going." (wealthmanagement.com)
- Joel Weber and Eric Balchunas talk about how to sort through 2000+ ETFs. (bloomberg.com)
- How ETFs are able to bypass capital gains season with in-kind redemptions. (insight.factset.com)
- Marijuana ETFs are going to go mainstream. (themaven.net)