Investment Advisor

The Dynamics of Liquidity and Investing

BlackRock’s Matt Tucker explains the concept of liquidity and sheds some light on the dynamics of liquidity and exchange traded funds: I’ve been getting questions recently about liquidity, specifically in the context of exchange traded funds (ETFs). Liquidity is a hot topic in financial markets these days, so let’s spend a little time going over it. First, we’ll explore what we mean by “liquidity” and then we’ll explain what it means when it comes to ETFs. Defining liquidity When I think about liquidity, I think about a transaction: I am able to buy or sell something at a known price. The

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3 Steps for Better Retirement Saving and Investing Habits

The following was authored by Nelli Oster, PhD, Director and Investment Strategist at BlackRock Consider the following choices: 1. You are offered a snack to eat now—would you prefer a chocolate bar or an orange? 2. You are offered a snack now to eat next week—would you prefer a chocolate bar or an orange? People predominantly choose the tasty but unhealthy snack for immediate consumption, but pick the healthy snack for the future. However, once that future date arrives, if given the option to switch, they again go for the high-sugar high-fat chocolate bar. This example highlights one of the

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What To Do When Financial News Headlines Jump Out at You

The following was authored by Heather Pelant, Personal Investor Strategist at BlackRock I’ve written about how my aunt calls me when the markets worry her. Needless to say, she’s been calling a lot. Rising interest rates. Sinking oil prices. A strong dollar and weak earnings. Greece, China and Puerto Rico. The news headlines make hay of these swings, and investor emotions can ride along with the dramatic stories. The stock market will spike one day, you feel optimistic and invest, then the market drops back down the next day. Earlier this year, we talked about how the markets would seem more volatile than

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Is Your Advisor Working For You or Themselves?

Nathan Geraci is President of The ETF Store, Inc. and host of the weekly radio show “The ETF Store Show“. If you work with a financial advisor, you might be surprised to learn they may not have a legal obligation to place your interests ahead of their own.  Let me repeat that.  Your financial advisor may not have to act in your best interests! As it turns out, many “financial advisors” are simply brokers who get paid commissions based on the investments they recommend to you.  These brokers can legally steer you into expensive investments that pay them big dollars, but

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We Answer Your ETF Questions

Nate and Conor answer your questions on ETFs, including explaining the benefits of bond ETFs and identifying the lowest cost ETF providers.  They also spotlight a biotechnology ETF.

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Recapping 2014 & Looking Ahead to 2015

Nathan Geraci is President of The ETF Store, Inc. and host of the weekly radio show “The ETF Store Show“. Heading into 2014, most market prognosticators confidently expected interest rates to rise and stocks to struggle eking out low single-digit gains.  After all, with lofty 30%+ returns from U.S. stocks in 2013, valuations were surely stretched and the Federal Reserve was removing the fuel (quantitative easing) responsible for igniting a spectacular rally the past several years.  This combination of rich valuations and Fed tapering was projected to, at a minimum, lead to an uphill battle for both stocks and bonds (remember,

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Best of The ETF Store Show

To close out 2014, we replay some of our favorite guest interviews from the second half of the year including Dave Nadig – ETF.com’s Chief Investment Officer, Dave Mazza – StateStreet’s Head of Research, and Wes Gray – Executive Managing Member at Alpha Architect.

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Recapping 2014 & Looking Ahead to 2015

We recap the financial markets in 2014 and tell you what we’ll be watching for in 2015.  John Hyland, Chief Investment Officer at United States Commodity Funds, also spotlights the United States Oil ETF (USO) and offers his perspective on the recent decline in the price of oil.

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Another Benefit of ETFs? Tax Efficiency.

Nathan Geraci is President of The ETF Store, Inc. and host of the weekly radio show “The ETF Store Show“. The various reasons why investors continue to pull money out of actively managed mutual funds and invest in ETFs have been well-documented.  From the high cost of owning mutual funds to their consistent underperformance to their lack of transparency, mutual fund investors are recognizing that they may not be getting what they pay for.  However, another reason investors are shunning mutual funds – and one that doesn’t receive nearly as much fanfare – is the relative tax inefficiency of mutual funds

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