Today we’ll give you a rundown of some of the top ETFs to trade as we move toward Q4 2022. After that, we’ll go over the most important fundamental events coming up this week.
What is an ETF?
First things first, let’s get you clued up on this instrument type, in case you aren’t sure. Put simply, ETFs are investment funds whose shares (called units) are traded on stock exchanges.
ETFs are considered to be pretty accessible, particularly for novice traders, as they act like a mutual fund and can consist of multiple asset classes — e.g. equities, bonds, commodities, etc. — all in a single investment. Which is cool!
Top ETFs to keep an eye on
Stocks had a great mid-year, but the summer fun appears to be over as the markets are down by around -14% since the beginning of the year. If you’re looking for another option, you may want to cast your eye over these 5!
#1 United States Natural Gas Fund LP (UNG)
UNG is one of 2022’s best performers, as you can see from the chart below. UNG tracks the daily price movements of natural gas futures traded on the Nymex. As European energy supplies continue to be massively disrupted by the conflict in Ukraine, natural gas has consistently moved higher.
Price 01.01: 12.77 USD
Price 09.09: 27.89 USD
% change 2022: +15.12%
#2 Invesco S&P 500 GARP ETF (SPGP)
GARP stands for “growth at a reasonable price.” Something we’re all looking for, right? The stocks in this ETF include companies that are growing their operations, but do not have a huge premium on shares to invest. The ETF holds about 75 S&P 500 components — which is where the S&P bit of it’s name comes in, obviously!
Price 01.01: 96.69 USD
Price 09.09: 85.51 USD
% change 2022: -11.56%
#3 Simplify Interest Rate Hedge (PFIX)
The Simplify fund allows investors to profit from rising interest rates by holding over-the-counter interest rate options. Some may say that it would seem like an opportune moment to be investing in something that relies on interest rates going up. PFIX has about $300 million worth of assets under management, so it has some serious weight behind it.
Price 01.01: 39.00 USD
Price 09.09: 61.74 USD
% change 2022: +58.31%
#4 VanEck Oil Services ETF (OIH)
If gas isn’t your bag, you should consider OIH. The VanEck fund is a list of 25 stocks in companies related to the oil exploration industry, including those specialising in oil equipment, oil services and oil-drilling companies. The ETF includes big name companies like Schlumberger Ltd. (SLB) and Halliburton Co. (HAL).
Price 01.01: 197.29 USD
Price 09.09: 246.61 USD
% change 2022: +25%
#5 Vanguard S&P 500 ETF (VOO)
As we said before, stocks are down around 14% since the beginning of 2022, and you can understand investor frustration. However, we’re glass-half-full people here at Contentworks, and know that the bear market won’t last forever! This ETF represents a long-term, low effort investment in some of the biggest companies on the planet. Some analysts are already predicting that we’ve hit the bottom, so it might be a good time to jump in at a great price.
Price 01.01: 439.25 USD
Price 09.09: 373.75 USD
% change 2022: -14.97%
Now, let’s hear from you!
Are you an ETF trader? What’s your pick for the remainder of 2022? We’d love to know! Tweet us at @_contentworks!
Top fundamental events this week
Here are all of the main events coming up in what looks like a pretty busy week for the markets.
● GBP — GDP 3-Month Avg (JUL); GDP YoY (JUL)
● AUD -Westpac Consumer Confidence Index (SEP)
● GBP — Employment Change (JUN); Unemployment Rate (JUL)
● EUR — German ZEW Economic Sentiment Index (SEP)
● USD — Core Inflation Rate YoY (AUG); Inflation Rate YoY (AUG)
● GBP — Core Inflation Rate YoY (AUG); Inflation Rate YoY (AUG)
● USD — PPI MoM (AUG)
● NZD — GDP Growth Rate YoY (Q2)
● AUD — Employment Change (AUG); Unemployment Rate (AUG)
● USD — Retail Sales MoM (AUG)
● EUR — Core Inflation Rate YoY Final (AUG)
● USD — Michigan Consumer Sentiment Prel (SEP)
Here at Contentworks we closely follow market movements and prep content that we think your traders would love to read. Let’s get you started right here.
The Contentworks team