March 1, 2021
Fixed income investors understand how difficult it is trying to squeeze out as much income as possible from safe haven options like government debt. Fortunately, some ETFs offer exposure to other income-generating sources, like covered calls. Enter the
QYLD is an income-generating spin on the Nasdaq-100 Index (NDX), an index lightly allocated to dividend-offending sectors, such as energy and real estate, while heavily allocated to leaders with strong balance sheets, such as the technology and communication services sectors. QYLD’s income is derived from writing covered calls on the NDX.
Covered call strategies can potentially augment a portfolio during periods of heightened volatility. The covered call options allow an investor to hold a long position in an asset while simultaneously writing, or selling, call options on the same asset.
March 1, 2021
Inflation fears showered the markets with sell-offs last week, but some analysts aren’t fretting. Investors still spooked by the possibility of rising inflation can turn to the
“Mad Money” host Jim Cramer saw the recent sell-offs as a general overreaction:
“The bond market sees the economy getting ready to reopen … and it figures the last thing we need is more stimulus,” said Cramer. “To these bond investors … that’s like throwing gasoline on the Kingsfords. They think the economy will overheat … [and that]we’re going to get some serious inflation.”
As fears of inflation permeated the markets, growth names received the brunt of the blow. In a meeting with the House and Senate, Federal Reserve Chair Jerome Powell remained steadfast in keeping rates low.
Small cap stocks are already hot and the
ERShares NextGen Entrepreneurs ETF (ERSX) is standing out as a leader in the group. The exchange traded fund could be in for more upside thanks to the steepening yield curve.
ERSX selects the most entrepreneurial, primarily Non-US Small Cap companies, that meet the thresholds embedded in its proprietary Entrepreneur Factor (EF). ERShares’ ETF delivers strong performance across a variety of investment strategies without disrupting investors’ underlying risk profile metrics. Their geographic diversity enables them to harness global advantages through additional returns associated with currency fluctuations, strategic geographic allocations, comparative trade imbalances, and relative supply/demand strengths.
March 1, 2021
The Democratic party has been pushing to make climate change initiatives a priority as President Joe Biden supports green policy. However, the party is divided over how to transition to this greener future.
Recent hearings during a “21st Century Energy Jobs” event argued that there is a bright future for fossil fuels, NPR reports.
For example, Zach Smith, external affairs manager for CONSOL Energy, outlined for the House Democratic Policy Committee a new vision of coal, arguing that “this is not your grandpa’s coal company.” His remarks come despite the gradual displacement of coal by natural gas over past decade.