Vanguard Financials ETF
Latest Vanguard Financials ETF News and Updates
Morgan Stanley’s Capital Position Remains Strong
Since the financial crisis of 2009, there has been intense pressure on US banks to raise capital levels to meet minimum requirements.
BlackRock’s Diversified Offerings Can Benefit from Rate Hikes
In the first quarter, BlackRock managed ~$1.9 trillion in fixed income offerings, up from ~$1.6 trillion in the first quarter of 2017.
Schwab’s Banking Operation Has More Assets, High Interest Income
Charles Schwab’s (SCHW) banking operations have seen strong growth over the past few quarters on accumulation of assets, expanding balance sheet, and interest income.
Why Wells Fargo’s Energy Loan Losses Could Rise in 2Q16
At Wells Fargo’s investor day presentation, chief financial officer John Shrewsberry warned investors of more losses on energy-related loans.
What Impacted Wells Fargo’s First Quarter Earnings?
Wells Fargo’s first quarter earnings surpassed expectations but fell 5% YoY (year-over-year). The net interest income increased by 6% to $11.7 billion.
Interest Rate Expectations Have Jolted Equity and Debt Alike
Asset managers (VFH) are seeking stability in order to attract funds toward either equity or debt offerings.
BlackRock’s Valuations following the Decline in Global Equities
BlackRock (BLK) stock has risen 27.6% over the past six months and 39.0% over the past year.
Hyman Bullish on Financials, Investors Upbeat about Rate Hike
Trump’s domestic growth-friendly policies Returns have been surging for the financial sector (XLF) (VFH) as the market expects to benefit from the Trump administration’s projected policies. Markets are highly confident with the expectation of more rate hikes, for example, and of widespread deregulation. Banks’ earnings have thus been getting a huge boost, and the market has been […]
Schwab Is Targeting Strong Operating Margins in 2017
Charles Schwab (SCHW) has improved its operating margins on improved interest income, administration fees, asset management fees, and new assets.
Morgan Stanley’s Expense Cuts Are Key Part of Recovery
Morgan Stanley’s 2Q16 earnings beat analysts’ estimates, as the bank reported considerably lower legal expenses.
Will the US Dollar and Inventories Impact Crude Oil Futures?
March US crude oil (DBO) (UWT) futures contracts increased 1.8% to $65.61 per barrel on January 24, 2018.
Why Deutsche Bank Prefers Bank of America over J.P. Morgan
In this series, we’ll compare Bank of America and J.P. Morgan on the basis of their 2Q earnings, profitability, cost-cutting initiatives, and interest rate sensitivities.
Citigroup’s Profitability Boosted by Lower Expenses
In terms of profitability, Citigroup’s return on equity (ROE) fell to 8.0% from 9.1% in the previous quarter but rose sharply from the 5.3% reported in 3Q14. Return on assets fell to 0.9% from 1.1% in 2Q15.
Understanding Goldman Sachs’s Segmental Earnings
Goldman Sachs ranked first in worldwide announced and completed mergers and acquisitions so far in 2015.
Goldman Sachs Is Down 15%: What Will 1Q16 Earnings Have to Offer?
Analysts expect Goldman Sachs to post 1Q16 EPS of $2.48, which is 45% lower than the corresponding period last year.
Citigroup or Bank of America: Which Is a Better Buy?
Citigroup and Bank of America have recovered well from the financial crisis. They have generated steady profits in the last few years and have strengthened their capital.
Asset Managers to See Growth on Diversified Offerings in 1Q18
The recent fall in stocks globally is expected to put some pressure on asset managers’ (VFH) operating performances in 1Q18.
How Were JPMorgan Chase’s 1Q16 Earnings?
JPMorgan Chase’s 1Q16 earnings beat investors’ expectations. Loan growth and credit quality improved despite weakness from the investment banking business.
Investment-grade bonds: Monsanto and energy firms make a splash
Corporates accounted for about 44% of the total investment-grade debt (LQD) issuance for the week ended June 27. Financial sector (VFH) issuers accounted for ~38%.
Why Is College Education So Expensive in the United States?
The rise in delinquencies on student loans in the United States (SPY) (IWM) (QQQ) can be partially attributed to the accelerated rise in college tuition and fees.
Fintech Startups Grabbed a Larger Share of US Personal Loans
The total spending on Visa’s (V) network rose 11% to $2.1 trillion in the second quarter—slightly better than analysts’ estimates of $2.09 trillion.
What Analysts Recommend for Interactive Brokers Group
Proprietary trading firms and hedge funds formed 4% of Interactive Brokers Group’s (IBKR) total accounts in the second quarter.
How Interactive Brokers Group Is Valued after Q2 Results
The primary reason for Interactive Brokers Group’s premium valuation is its strong second-quarter results.
Why Interactive Brokers Group’s Commissions Fell
In the second quarter, Interactive Brokers Group (IBKR) saw daily average revenue trades (or DARTs) of 797,000.
Interactive Brokers Posted Strong Second-Quarter Results
Interactive Brokers Group (IBKR) posted net revenues of $445 million in the second quarter, a rise of 14.9% on a YoY basis.
TD Ameritrade Posted Strong Third-Quarter Results
TD Ameritrade (AMTD) released its third fiscal quarter results on July 23. The company posted an EPS of $0.89, which exceeded analysts’ expectations.
How Analysts View Charles Schwab after Q2 2018
After second-quarter earnings, Charles Schwab (SCHW) has “strong buy” ratings from seven analysts and a “sell” rating from one analyst.
How Charles Schwab Is Valued after Strong Second-Quarter Results
Technological investments, competitive commission rates, and acquisitions are expected to drive the brokerage industry moving forward.
Why Schwab’s Asset Management and Administration Fees Fell
Asset management and administration fees contributed $814 million, or 32.7%, of Charles Schwab’s (SCHW) net revenues in the second quarter.
Charles Schwab’s Total Client Assets Rose in the Second Quarter
As of June 30, Charles Schwab (SCHW) had total client assets of $3.4 trillion, a YoY rise of 12% and a sequential rise of 3%.
E*TRADE’s Q2 Daily Average Revenue Trades Fell Sequentially
E*TRADE Financial posted second-quarter EPS of $0.95, which beat Wall Street estimates by $0.07.
Higher Net Interest Income Drove Charles Schwab’s Net Revenues
Charles Schwab’s (SCHW) second-quarter net revenues came in at $2.5 billion, a YoY rise of 17% and a sequential rise of 4%.
Interactive Brokers Group Missed Earnings Estimates in Q2 2018
On July 17, Interactive Brokers Group declared its second-quarter earnings. The company’s EPS was $0.39, which missed analysts’ expectations by $0.02.
Charles Schwab Posts Strong Q2 2018 Results, Shares Gain
Charles Schwab (SCHW) reported its second-quarter results on July 17. The company posted an EPS of $0.60, which exceeded analysts’ estimates.
Analysts Are Mixed on Interactive Brokers Group in July
In July, Interactive Brokers had two “strong buy” ratings out of six analysts tracking the stock.
A Look at Interactive Brokers Group’s Premium Valuations
The PE ratio of Interactive Brokers Group (IBKR) is 26.17x on an NTM (next-12-month) basis.
What Interactive Brokers Group’s Commissions Might Be in Q2 2018
In the second quarter, Interactive Brokers Group (IBKR) is expected to generate fees and commissions income of $195 million.
How Interactive Brokers Group’s Average Trades Have Trended
Interactive Brokers Group (IBKR) saw DARTs of 797,000 in the second quarter, which implies a sequential fall.
Interactive Brokers: Stabilizing Net Interest Margins in Q2 2018
In the second quarter, Interactive Brokers Group (IBKR) is expected to report net interest income of $255.1 million.
What’s in Store for Interactive Brokers Group in Q2 2018?
Interactive Brokers Group (IBKR) is expected to report its Q2 2018 earnings on July 17. It’s expected to have lower commissions.
Can Macros and Mixed Sentiment Drive E*TRADE’s Q2 2018 Earnings?
E*TRADE Financial Corporation (ETFC) is scheduled to release its second-quarter results on July 19. Wall Street is expecting EPS of $0.89, implying year-over-year growth of 27.1%.
Why Analysts Love Charles Schwab
In July, Charles Schwab (SCHW) got six “hold” ratings and one “sell” rating of the 20 analysts covering the stock.
A Look at Charles Schwab’s Valuations
Charles Schwab (SCHW) has a PE ratio of 18.99x on an NTM (next-12-month) basis.
Charles Schwab’s Asset Management and Administration Fees
In the first quarter, Schwab (SCHW) generated total asset management and administration fees of $851 million.
What Could Charles Schwab’s Trading Income Be in Q2 2018?
Moving forward, the markets could see higher volatility, mainly due to prevailing trade tensions that are disrupting global trade.
What Could Help Charles Schwab’s Net Interest Income in Q2 2018?
Charles Schwab’s net interest income is largely influenced by interest-earning assets and interest rates.
What’s Expected for Charles Schwab in Q2 2018?
On July 17, Charles Schwab (SCHW) is expected to post its second-quarter earnings. Analysts expect it to report EPS of $0.58.
How Do Interactive Brokers Group’s June Metrics Look?
Interactive Brokers Group reported daily average revenue trades of 799,000 in June, a month-over-month rise of 2% and a year-over-year rise of 17%.
Could Analysts Change their Ratings for Brokerages?
Over the long term, trade wars could negatively impact investors’ views on equities, primarily due to the risks they carry.
How Could Trade Wars Impact Bond Yields?
The primary reason for investors’ preference for safer instruments is highly unstable global factors.
What Impact Could Trade Wars Have on Brokerages?
Brokerages could see a negative impact from escalating trade wars between the United States and China in the long term.
Charles Schwab Reports Strong Numbers for May
Charles Schwab (SCHW) is expected to report strong numbers in the second quarter mainly due to supportive macro fundamentals.
ETFC’s StreetWise Results: Investors’ Take on the Economy
On June 11, E*TRADE Financial released results from a study on investor sentiment about the June Fed meeting and the overall economy.
What Could Attract Investors to Interactive Brokers
Market participants tend to prefer digital tools to execute trades because of lower costs and faster execution.
Could Interactive Brokers Impress Market Participants in Q2?
We’re almost halfway through the current year, and market dynamics seem to have supported brokerages (VFH).
How Technology Is Helping Interactive Brokers Group
On June 6, Interactive Brokers (IBKR) attended the Sandler O’Neill Global Exchange and Brokerage Conference, where it shared company insights.
Why Interactive Brokers Group’s Daily Average Revenue Trades Fell
In the second quarter, Interactive Broker Group is expected to witness a drop in its commission revenues sequentially due to a fall in its DARTs.
TD Ameritrade Stock: Analysts’ Recommendations
For TD Ameritrade, six analysts recommend a “hold,” one recommends a “strong sell,” five recommend a “buy,” and seven recommend a “strong buy.”
What Are TD Ameritrade’s Valuations?
TD Ameritrade’s (AMTD) PE ratio stood at 16.68x on a next 12-month basis, which implies discounted valuations.
TD Ameritrade Stock: Important Factors to Watch
TD Ameritrade’s (AMTD) performance will likely depend on the economic and political factors prevailing in the economy.
What Does the Third Quarter Hold for TD Ameritrade?
TD Ameritrade (AMTD) is expected to report an EPS of $0.8 in the fiscal third quarter, which ends in June.
TD Ameritrade: How Digital Tools Are Helping
TD Ameritrade (AMTD) operates in a very competitive industry. The company needs to retain its clients in order to experience long-term growth.
What Drove TD Ameritrade’s Second-Quarter Performance?
TD Ameritrade (AMTD) benefited from clients’ higher trading activities in the second quarter, which ended on March 31.
Analysts Have Mixed Views on Interactive Brokers
Of the six analysts covering Interactive Brokers (IBKR), two recommend “strong buy,” two recommend “hold,” and two recommend “strong sell.”
What Could Affect Interactive Brokers Group in Q2?
In the first quarter, Interactive Brokers (IBKR) exceeded analysts’ EPS and revenue expectations, like peers (VFH) Charles Schwab (SCHW) and E*TRADE Financial (ETFC).
Inside Interactive Brokers’ Premium Valuation
Interactive Brokers (IBKR) has an NTM (next-12-month) PE ratio of 32.7x, which is higher than peers’ average of 18.5x.
What’s Been Driving Brokerages?
Interactive Brokers (IBKR) drew market participants’ attention in the first quarter, primarily because of expectations of higher interest rates and strong volatility.
How Interactive Brokers’ April Numbers Could Affect Its Q2
In the first quarter, trade tensions and interest rate hike expectations made equity markets volatile, resulting in brokerages’ (VFH) customers trading more and boosting brokerages’ revenue.
Why Wall Street Is Long on BlackRock Post-Rout
Wall Street analysts are expecting a limited upside for asset managers (VFH) as well as broader indexes in 2018.
What Imparts Transparency to Digital Assets?
Digital assets based on DLT (distributed ledger technology) allows users to initiate and verify their own transactions without any central authority such as banks.
BlackRock’s Valuations Stable amid Strong Operating Performance
BlackRock is currently trading at a forward price-to-earnings ratio of 17.6x, compared with the industry average of 18.6x.
Blockchain and Bitcoin: But What Else Is Blockchain Used For?
Deutsche Bank is planning to use blockchain technology in currency settlement, trade processing, and derivative contracts.
BlackRock and Competitors Look at Strong 1Q18 Numbers
Among the major asset managers, BlackRock (BLK) is expected to post sequential and year-over-year growth in earnings per share to $6.38 in 1Q18 and $6.83 in 2Q18.
Wall Street Analysts Long on Asset Managers in 2018
Analysts gave BlackRock a price target of $614.92 on a next-12-month basis.
BlackRock Shareholder Payouts Rise amid Strong Growth
BlackRock’s (BLK) board approved a 15.0% increase in quarterly dividends to $2.88 payable in March 2018.
Trump Administration’s Reforms to Benefit BlackRock and Industry
BlackRock managed assets worth ~$1.9 trillion on December 31, 2017, compared with ~$1.6 trillion during the previous year.
BlackRock’s Retail Is Adding Assets at a Fast Pace toward Debt
BlackRock’s (BLK) Retail division attracted $11.0 billion in new flows in 4Q17, compared to outflows of $2.0 billion in 4Q16.
How Premium Are BlackRock’s Premium Valuations Going into 2018?
BlackRock’s (BLK) outperformance, estimate beats, and new assets have helped the company command premium valuations.
Wall Street Rates BlackRock High in the Industry for 2018
Asset managers (VFH) have had “buy” to “hold” ratings in recent months since equities are expected to be upbeat in the next few quarters.
Why Leon Cooperman Is Optimistic about Citigroup
Leon Cooperman is optimistic about both the financial sector (XLF) and the technology sector (XLK).
Why Morgan Stanley Is Overweight on the Financial Sector
Mike Wilson of Morgan Stanley is overweight on the financial and technology sectors. He believes these sectors will benefit the most from tax reform.
How Are Fallen Angel Bond Sectors Looking Now?
VanEck How the fallen angel sector exposure has made a difference The volume of fallen angel bonds in the market is increased primarily by deteriorating fundamentals of individual investment-grade bond issuers and by economic events that have weakened entire industry sectors (as seen in early 2016 in the energy sector with the aftermath of the […]
Does Dodd-Frank Act Need to Be Changed?
Barack Obama signed the Dodd-Frank Act into federal law in 2010.
Charles Schwab Managed New Assets in Advisor Services
Charles Schwab’s (SCHW) Advisory Services segment had total assets of ~$1.4 trillion as of November 30, 2016. It was an 8.0% rise on a year-over-year basis.
Charles Schwab Stock and Valuations Rose on 3Q Performance
Charles Schwab’s (SCHW) stock has risen 23% during the past three months, mainly due to higher assets, strong operating performance, and improving broad markets.
Charles Schwab’s Bank Generating Strong Returns on Deposits
In the first nine months of fiscal 2016, Charles Schwab (SCHW) added 55,000 new accounts to 1,088,000 total accounts.
Charles Schwab’s Asset Management and Average Trades Rose in 3Q
Charles Schwab’s (SCHW) daily average trades rose to 543,000 in 3Q16 as compared to 518,000 in the previous quarter and 537,000 in 3Q15.
Schwab’s Advisor Services to Rise in 3Q16 on Assets, Appreciation
Charles Schwab’s (SCHW) Advisor Services segment had total client assets of $1.2 trillion on June 30, 2016, forming 46% of the company’s total client assets.
Charles Schwab Sees Record Margins on Interest, Expense
Charles Schwab (SCHW) reported a strong pre-tax margin of 39.4% in 2Q16, as compared to 36.2% in 2Q15. For 1H16, the company has reported a 38.3% margin.
Charles Schwab Bank Expands on Assets, Products in 2016
In 1H16, Charles Schwab (SCHW) added 13,000 new accounts—a YoY rise of 6%. In 2Q16, the bank’s balance sheet expanded to $153.9 billion—a YoY rise of 26%.
With the Financial Crisis behind, WFC and C Earnings Are in Focus
Wells Fargo and Citigroup have recovered well from the financial crisis. They have generated steady profits in the last few years and have strengthened their capital.
How Does Wells Fargo Compare with JPMorgan Chase on Profitability?
JPMorgan Chase (JPM) and Wells Fargo (WFC) reported profits of $6.2 billion and $5.6 billion, respectively, in the most recent quarter.
Will BAC Offer Better Dividend Growth than J.P. Morgan?
Bank of America (BAC) and J.P. Morgan (JPM) have regularly rewarded shareholders through dividends and share buybacks.
How BNY Mellon’s Cost Control Measures Are Boosting Profits
Bank of New York Mellon (BK) has been focusing extensively on efficiency through cost controls to boost its profitability.
How Do Major Analysts View Rockwell Collins’s Stock?
The consensus rating among the 19 analysts covering Rockwell Collins (COL) leans toward a “buy” call.
PNC Financials’ Non-Interest Income Ratio Continues to Expand
PNC Financial’s non-interest income for 2Q16 increased by 10% over the previous quarter, mainly due to higher fee income growth.
Key Takeaways from JPMorgan Chase’s Earnings Release
J.P. Morgan’s 2Q16 earnings surpassed investors’ expectations as loan growth and credit quality improved.
Will Wells Fargo’s Loan Portfolio Drive Q2 Earnings Growth?
Wells Fargo has the largest loan portfolio in the financial sector (XLF). Its bedrock foundation is its mortgage portfolio.
How Will Charles Schwab Perform in 2Q16?
Charles Schwab (SCHW) is expected to post earnings per share (or EPS) of $0.33 as compared to $0.25 in the corresponding quarter last year.
BlackRock’s iShares Expected to Expand in 2Q16
BlackRock’s (BLK) iShares had assets under management (or AUM) of $1.1 trillion as of March 31, 2016. The company continues to bring in innovative themes to address investor needs.