Las Vegas may still be hurting, but the Wall Street Casino is as lively as ever.
US ETF and ETP assets have just topped the $1 trillion mark – impressive because c’mon, let’s face it – ETFs are a pure speculative vehicle, nothing more and nothing less.
And because ETFs are created due to investor demand, the “hot” ETF areas can be interesting contrary signals:
The success of US ETFs and ETPs has been largely due to interest in North American and emerging market equities, with diminishing focus on fixed income and commodities. (Source: IFA Online)
Perhaps it’s time to take a short position in North American and emerging markets?