Question: Why are there so many ETFs? Answer: ETF issuance is profitable, so Wall Street keeps cranking out more products to sell. I leverage my firm’s data to identify three red flags you can use to avoid the worst ETFs: 1. Inadequate Liquidity This issue is the easiest to avoid, and my advice is simple. Avoid all ETFs with less than $100 million in assets. Low levels of liquidity can lead to a discrepancy between the price of the ETF and the underlying value of the securities it holds. Small ETFs also generally have lower trading volume, which translates to…

With the talking heads spinning narrative’s day in and day out, investors can feel more confused than ever. As the S&P 500 falls from record highs, investors may be wondering how to navigate this market? There is one straight answer: make sure you’ve done your diligence and understand the true cash flows of the underlying business you’re looking to invest in (or already own). The sole purpose of my Most Dangerous Stocks Model Portfolio is to find the worst of the worst stocks in any kind of market. The stocks in this Model Portfolio have both terrible fundamentals and expensive…

Jackson Financial has been named as a Top 10 dividend-paying financial stock, according to Dividend Channel, which published its most recent ‘’DividendRank’’ report. The report noted that among shares of financial companies, JXN displayed both attractive valuation metrics and strong profitability metrics. The report also cited the strong quarterly dividend history at Jackson Financial, and favorable long-term multi-year growth rates in key fundamental data points. 10 Top Ranked Dividend Paying Financials » The report stated, ”Dividend investors approaching investing from a value standpoint are generally most interested in researching the strongest most profitable companies, that also happen to be trading…

CK Hutchison Holdings, a Hong Kong-based conglomerate controlled by billionaire Li Ka-shing, has agreed to sell a majority stake in its Panama Canal ports to a BlackRock-led consortium, after U.S. President Donald Trump raised concerns over perceived Chinese influence on the critical trade waterway. CK Hutchison said late Tuesday it’s selling a 90% stake in its Panama Ports Co. to BlackRock and its Global Infrastructure Partners unit, as well as Terminal Investment, the port unit of Swiss billionaire Gianluigi Aponte’s shipping giant MSC. Panama Ports Co. operates the ports of Balboa and Cristobal in the pro-U.S. country, which are located…

In Congressional testimony last month, Federal Reserve Chair Jerome Powell said that insurance companies and banks are already “pulling out of coastal areas, areas where there are a lot of fires.” He predicted that in “10 or 15 years there are going to be regions of the country where you can’t get a mortgage.” This should not be a surprise. For decades, extreme weather events have been increasing in number and destructiveness, providing repeated reminders of the urgency of addressing climate change’s costs to our economy and financial system. Yet Powell’s comment stands out because it was virtually the only…

China’s latest attempt to stimulate economic growth cannot come fast for Australia’s iron ore industry where second tier miners are being rocked by the falling price of the steel making mineral which is sitting close to a six-year low. Over the past month, the price of iron ore traded on the Singapore Exchange has declined by 7% to $100.15 a ton (and briefly dropped below $100/t on Monday), to now be down 28% on the price of $140/t at this time last year. The falling iron ore price is the major factor in a 16% drop in the share price…

The DividendRank formula at Dividend Channel ranks a coverage universe of thousands of dividend stocks, according to a proprietary formula designed to identify those stocks that combine two important characteristics — strong fundamentals and a valuation that looks inexpensive. American Express presently has a stellar rank, in the top 10% of the coverage universe, which suggests it is among the top most “interesting” ideas that merit further research by investors. 10 Oversold Dividend Stocks » But making American Express Co. an even more interesting and timely stock to look at, is the fact that in trading on Tuesday, shares of…

There’s no doubt it’s been a rough couple weeks for stocks: Both the S&P 500 and the tech-focused NASDAQ have wiped out most of this year’s gains, as of this writing. The bigger decline among the NASDAQ, compared to the S&P 500, is notable here because the NASDAQ involves both higher risk and higher reward: With a heavier focus on tech stocks, it’s more volatile than the more diversified S&P 500. But it also reflects where many of the higher profit margins have been among U.S. firms. Hence, it has outrun the S&P 500 for a long time. Despite Burst…

The European Union’s decision to soften its automotive carbon dioxide emissions rules was greeted with derision by environmentalists and sighs of relief by the industry. Investment bank UBS declared the change to be a “small relief”. European Commission President Ursula von der Leyen announced Monday manufacturers would receive a two-year extension for meeting the planned tighter CO2 emissions rules for 2025 if they outperform restrictions for the next two years. Volkswagen had said it might be hit by fines of up €1.5 billion ($1.58 billion) for failing to meet the rules this year. Renault expected a lesser penalty. Brussels-based green…

Key News Asian equities were mixed overnight as Indonesia outperformed, Taiwan underperformed, and South Korea was closed for Independence Day. Hong Kong and Mainland China bounced around the room on volumes that were down from Friday’s massive MSCI index rebalance driven trading, though still strong despite Trump’s threatened tariffs casting a shadow on today’s trading. Investors are waiting for policy direction from China’s big policy meetings, which kick off tomorrow. In advance of the 14th National People’s Congress, which begins Wednesday, there will be a noon press conference tomorrow to review the agenda. The six-day Chinese People’s Political Consultative Conference,…