Sector Rotation
> Sector Rotation ETF
How Have Sector Rotation ETF Funds Performed?
There are several specialty Exchange Traded Funds
available for investors that want to focus in on tactical asset
allocation and sector rotation strategies inside their investment
portfolios. Jump onto any ETF screener to find some
of these popular sector rotation ETFs, but you might want to do your
research before you invest.
What we found was many of the sector rotation ETFs failed to outperform
the market index over time, and some had more than twice the
expense fee
costs of other Exchange Traded Funds. If your considering a
sector
rotation ETF you need to do your homework carefully.
Claymore/Zacks Sector Rotation ETF
Fidelity offers a group of sector mutual funds that can be used as
decent vehicles for sector rotation. Now there are still a
few downsides to using these sector mutual funds over similar ETFs,
namely the minimum holding periods, minimum investment amounts,
short-term trading penalties, and higher expense ratios. You
can check out Zacks Sector Rotation ETF here.
Pay close attention to expense
fees and performance results when doing your investor homework.
Powershares Valuline Industry Rotation ETF
Powershares is another fund company that offers a sector ETF
fund. You can check out Powershares Sector Rotation ETF here.
Powershares also carries a larger stable of sector ETFs which
is
another sound strategy to condider for sector rotation investing
strategies.
DIY Sector ETF Investing
Why pay high fees, subject yourself to below average returns, and get
boxed in with minimum investment purchase amounts?
We are convinced that almost anyone can generate better
returns than most of the professionally managed sector rotation funds
with a little research and a few hours per month. Our
preferred investment vehicle is Sector ETFs, and with a
little homework and research you could implement a DIY sector
rotation strategy.
Up next: Sector Rotation Strategy
for DIY Investors
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