1Lun·

Momentum ETF

I’ve been taking a closer look at the positioning and rebalancing dynamics of the $IS3R (-1,46 %)

It has a quarterly rebalancing frequency.

What are your expectations for $IS3R (-1,46 %) performance relative to the broader market heading into the next rebalance period?

6 Comentarios

DEW_7240@DEW_7240

1Lun

I'm tracking the performance of this against comparable value ETFs since march, as part of my GTAA Momentum strategy.
The momentum ETF didn't get close to the value ETFs performance in the last 6 months.
There might be a period when this might switch. But currently I personally don't see the advantage of a momentum ETF over stock picking (aside from not needing to think about what you're investing in)

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Moonshot@DeBelegger

1Lun

@DEW_7240 You are right about the value ETF performance! Might consider having both in your portfolio ;-)

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DEW_7240@DEW_7240

1Lun

@DeBelegger or switch from one to the other once the tide turns.
Which probably won't fit a buy and hold strategy

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Moonshot@DeBelegger

1Lun

@DEW_7240 If only we had a crystal ball :-)

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Robinhold@robinhold

1Lun

I would check $XDEM rather, it has better tracking, ignore first months of it. if you compare both, $XDEM actually start previous momentum listing when it launched. Eo that loss at the beginning make it seem iShares is better but it is not. As per value vs momentum comparasation above, momentum beats to value long term. Currently market is in rotation and value wins but it will not take long. you can see the same trend in many oyher ETFs too value ETFs are more profitable currently. But if you want hands off experience and care mostly long term resut, momentum beats value also quality also the normal version of its index. Just be careful to hold and not sell it during market rotations. And don't expect it to be stable it is highly volitale.

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Donkey Diktator@DonkeyInvestor

1Lun

Would recommend $n/a instead

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