Category: buyEtfName

div-ETF | SPHD^SPYD

Posted on by tiger40490
  • criteria: Need pre-clear? Exempted due to 20+ constituents.
  • criteria: below $40 to support small limit order
  • criteria: SEC yield > 4%. SPYD is 4%; SPHD is 4.2%
  • expRatio: SPHD is 0.30; SPYD is excellent at 0.07

— SPHD tracks a dividend-yield-weighted index comprising the 50 least volatile names chosen from a shortlist of the S&P 500’s 75 highest-dividend-yielding securities.

Good experience as of Oct 2024.

— SPYD tracks an index of the 80 highest-yielding stocks selected from the S&P 500. 

Good experience as of Oct 2024.

RSP 2% # compare2curves@yahoo

Posted on by tiger40490
  • 1.5-2% CDY, better than SP500
  • https://www.marketwatch.com/story/long-term-investors-can-beat-the-sp-500-by-favoring-equal-weighted-etfs-2018-09-26
  • https://einvestingforbeginners.com/equal-weight-sp-500-etf-ansh/ (one person’s view) suggests the RSP is no worse than SPY , partly thanks to DYOC.
  • yahoo finance chart shows RSP beating SP500 even without dividend factored in ! I think this happens only over longer term.
  • .. After 20 experiments, I think the comparison chart lets us drag to select an arbitrary starting date. On that date the two curves start at the same 100% level, and start to drift apart. The chart then shows something like “RSP is currently 93% of starting level, whereas SP500 is 92% of starting level”
  • .. Is there a more reliable data source than Yahoo finance?
  • I think many of my passive investments [401k, AIA, TRBCX] already track the sp500, so I would prefer to diversify to an EWI fund.

— minor factors

  • momentum .. with equal-weight ETFs, there is “kind of an anti-momentum dynamic that is present because every quarter you’re kind of cutting back what has risen a lot and adding to what has lagged,” he added. “The trouble with market-cap-weighted [indices] longer term is you ride the momentum up. But there is no mechanism to kick those stocks out again. So, you ride them down.” That is why standard indexes may outperform equal-weight ETFs in the short run
  • historical (and future) performance .. I guess in a bull run lead by a few large stocks, EWI would underperform, as in the last few years.
  • concentration risk .. is better with the more diversified EWI. See https://www.investopedia.com/articles/exchangetradedfunds/08/market-equal-weight.asp . I think about 1/5 value of SP500 are the top 5 tech stocks which are badly correlated. Some investors embrace concentration on 5 tech superstars, because they don’t like holding laggards, but historically, the EWI has not really underperformed the highly concentrated SP500
  • volatility .. might be worse with the highly concentrated sp500, esp. during a sector crash. On the other hand, small-caps tend to be more volatile

##ETFs on usReits

Posted on by tiger40490

— SCHH

  • 👍 $20 small quantum
  • 👍 $7B larger than other Reit ETFs
  • 👍 140 U.S. REITs .. suitable for sector quick grab
  • 👍 expR 0.07
  • CDY around 2%

— USRT

  • 🙁 $65 fraction supported
  • $3B larger
  • 100+ U.S. REITs .. suitable for sector quick grab
  • 👍 expR 0.08
  • CDY around 2%

— KBWY

  • 👍 CDY around 5%
  • 👍 $25 small quantum
  • 👍 32 US small-cap U.S. REITs .. suitable for sector quick grab
  • 🙁 expR 0.35;

— SRET

  • 🙂 $9 small quantum
  • 37 names … global REITs.. good for international exposure
  • 🙁 not suitable for sector quick grab
  • expR 0.58;
  • CDY around 6%
  • fully sold

VTI: buyEntireUsaMkt

Posted on by tiger40490
  • 🙂 0.03% expRatio about 1/3 of SPY’s
  • https://investor.vanguard.com/etf/profile/vti
  • big quantum. need fractional
  • 1.34% CDY, comparable to SPY
  • 3640 stocks. VTI holds no Amex and OTC* stocks.
  • tech sector is 27% of the target index. top 10 holdings are mostly tech stocks
  • About 90% of VTI is concentrated in the SP500. The remaining allocation is mid/small caps. Therefore more growth, more volatility than SPY

To my surprise, VTI can outperforms SPY slightly

SeekingAlpha says compared to SPY, VTI is more suited to buy-n-hold long-term investors