ETF Asset Report of May

The month of May was all about the gradual reopening of global economies and relentless research on coronavirus vaccines as well as some positive outcomes on it. Moderate corporate earnings have also led to market strength.  The energy market staged a comeback too. Key U.S. indexes were in the green in the month. In this scenario, we highlight ETF asset flows for the month of May.

High-Yield Bond ETFs Top

Risk-on sentiments and the Fed’s monetary favor are working wonders for the segment.In mid-April, the Fed said it would expand its bond-buying program to include debt that was investment-grade rated as of Mar 22 but was later downgraded to no lower than BB-, or three levels into high yield. The very move made iShares iBoxx USD High Yield Corporate Bond ETF HYG appealing and it added about $4.38 billion in assets in May. SPDR Bloomberg Barclays High Yield Bond ETF

Read More

Should iShares Morningstar MidCap Growth ETF (JKH) Be on Your Investing Radar?

Looking for broad exposure to the Mid Cap Growth segment of the US equity market? You should consider the iShares Morningstar MidCap Growth ETF (JKH), a passively managed exchange traded fund launched on 06/28/2004.

The fund is sponsored by Blackrock. It has amassed assets over $580.51 million, making it one of the average sized ETFs attempting to match the Mid Cap Growth segment of the US equity market.

Why Mid Cap Growth

Mid cap companies, with market capitalization in the range of $2 billion and $10 billion, offer investors many things that small and large companies don’t, including less risk and higher growth opportunities. Thus they have a nice balance of growth potential and stability.

While growth stocks do boast higher than average sales and earnings growth rates, and they are expected to grow faster than the wider market, investors should note these kinds of stocks have higher valuations. Also,

Read More