SPDR® Nuveen S&P High Yield Muni Bd ETF
South Korea’s Economic Growth amid Geopolitical Tensions
South Korean economy The South Korean (EWY) economy is currently affected by security threats from North Korea and several chaebols, or family-controlled companies. Samsung Electronics (SSNLF) (HYMLF), a chaebol, has been involved in a corruption scandal, like companies in many other emerging markets. However, on a positive note, most macroeconomic factors look promising thanks to new […]
Climate Change Risks: Look Beyond the Obvious
When it comes to climate change risks, investors should look beyond the obvious sectors like fossil fuel and utilities. The VW (VLKAY) scandal has only reaffirmed this.
Fixed income ETFs: The longer the duration, the higher the loss
The higher the expense ratio, the deeper the decline in an investment’s value. Also, the higher the period of investment, the greater the impact of expense ratios due to the compounding effect.
Must-know: Why expense ratios have affected TLT and MUB
We note that net or effective returns (that is, returns after expenses) fall to 7.95% versus perceived returns of 8.44% for TLT for the past three years.
Why expense ratios affect ETF investors’ returns
To see how expense ratios can affect investments over time, let’s compare the returns of several fixed income ETFs that differ only in expense ratio.
Why bid-ask spread costs are so important to ETF investors
Other than the operating costs of an ETF, the other hidden cost that affects the return for investors is the bid-ask spread.
Must-know: Important costs involved in owning an ETF
Owning an ETF comes with some fees. These fees are called “expense ratios” because they’re expressed as a percentage of a fund’s assets.