Latest news with #SPDRS&P500Trust
Yahoo
13-04-2025
- Business
- Yahoo
An Individual Is Ready To Invest $10,000 And Turns To Reddit For Advice: 'I'm Looking For A Decent Yield And A Little Growth'
Investing money into dividend stocks can result in steady cash flow. Gradually putting money into these investments will increase your dividend income over time, but some people receive a windfall of cash that they can deploy right away. One Redditor finds themselves in that position. The individual is set to have $10,000 sometime next week and has been following the Dividends subreddit for a while. Now, after consuming content from the group for a while, the Redditor is looking for advice. "I'm looking for a decent yield and a little growth," the Redditor explained when asking for recommendations. Don't Miss: Deloitte's fastest-growing software company partners with Amazon, Walmart & Target – Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — In addition to the immediate $10,000 investment, the Redditor aims to invest $250 each month. Other Redditors shared their thoughts in the comments. One commenter suggested staggering the $10,000 investment instead of putting it all into the market at once. This approach can help the Redditor capitalize on any price dips instead of unloading all of their capital and watching their assets lose value. Many investors on Reddit seem to be jittery about the recent trade war. The popular consensus on Reddit is that the market will continue to tank, and that fear showed up again in the comments. Trending: BlackRock is calling 2025 the year of alternative assets. An investor who wants to dollar cost average as the market goes down may want to consider breaking the $10,000 investment into several investments. The amount of times you break down the $10,000 should depend on your risk tolerance, your thoughts about current prices, and what you think the stock market will look like in five to 10 years. The original poster mentioned some ETFs and received comments that suggested some ETFs as well. The Schwab US Dividend Equity ETF (NYSE:SCHD) was the first ETF the original poster mentioned. It's no surprise to see SCHD mentioned in the Dividends subreddit since it seems to be a fan favorite. The SPDR S&P 500 Trust (NYSE:SPY), JPMorgan Nasdaq Equity Premium Income ETF (NASDAQ:JEPQ), and the JPMorgan Equity Premium Income ETF (NYSE:JEPI) were some of the other ETFs that were mentioned in the post and the these recommendations don't mean much since we don't know much about the Redditor. One of the top commenters pointed this out. 'What to invest in depends a lot on your personal situation. You didn't provide any details about age, income, investment objectives (other than decent yield and a little growth, which is a relative idea), risk tolerance, jurisdiction, investment currency, etc., so it's hard for any meaningful advice to be given." The best stocks and ETFs for one person may be different from the best assets for another person. Some people pursue high-yield stocks as they get closer to retirement, while others buy growth stocks when they are younger to maximize their potential returns. Personal details like risk tolerance and income play a role in which stocks and ETFs make sense for you. Read Next:Inspired by Uber and Airbnb – Deloitte's fastest-growing software company is transforming 7 billion smartphones into income-generating assets – Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article An Individual Is Ready To Invest $10,000 And Turns To Reddit For Advice: 'I'm Looking For A Decent Yield And A Little Growth' originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved.
Yahoo
07-04-2025
- Business
- Yahoo
Stock, Bond ETFs React to Tariff News; VOO Hits Bear Market
Stock, bond and commodity ETFs broadly fell Monday, with S&P 500 funds like the Vanguard S&P 500 ETF (VOO) briefly tumbling into bear market territory amid wild gyrations sparked by President Donald Trump's global tariffs. The biggest U.S. exchange-traded funds, including VOO, the SPDR S&P 500 Trust (SPY) and the iShares Core S&P 500 ETF (IVV), which together hold more than $1.5 trillion in assets (or more than 10% of the entire ETF market), fell for a third day straight. They've each lost 10% over that time frame and are down almost 20% since the February all-time high. Safe-haven ETFs also dropped: The $125.6 billion iShares Core U.S. Aggregate Bond ETF (AGG) and the $128.9 billion Vanguard Total Bond Market ETF (BND) fell, while the $43.3 billion SPDR Bloomberg 1-3 Month T-Bill ETF (BIL) just barely ended in the green. Market volatility surged to its highest since the 2020 pandemic, as measured by the Cboe Volatility Index (VIX). In a sign of how itchy investors' trigger fingers have become, the market briefly soared mid-morning, turning positive following reports—which were later disavowed—that tariffs would be paused for 90 days. Rattling markets further was Trump's threat for another 50% tariff on China. 'The name of the game now is uncertainty across the board with investors,' said Tim Urbanowicz, CFA, chief investment strategist at Innovator ETFs, likening the current environment to that of the pandemic meltdown. 'The uncertainty is not going away. We don't think it's peaked yet.' Investors bought around $850 million in so-called buffer ETFs on Friday, he said. Those funds hedge against volatility by limiting their losses and gains. Innovator is telling investors to be prepared for a 'wide range of outcomes,' he said. Source: data Market screens were a sea of red today, with few investments gaining. The VanEck Semiconductor ETF (SMH) moved higher by 1.5% along with the iShares Silver Trust (SLV), which was up 0.4% at the close. Beyond those rare green signs, investors found few places of refuge. 'Today, we feel bewildered, angry and shocked,' Allan Roth, columnist and founder of financial planning firm Wealth Logic, wrote in an email. 'I agree with the sentiment that this is 'a self-inflicted wound.''Permalink | © Copyright 2025 All rights reserved Sign in to access your portfolio
Yahoo
02-04-2025
- Business
- Yahoo
6 Boring Ways To Get Rich and Why Boring Is Better
Get-rich-quick schemes may sound great, but they fail more often than they succeed. Flashy investment strategies, risky business ventures and chasing trends can lead to stress, losses and even financial ruin. Trending Now: For You: Real wealth comes more often than not from discipline, patience and predictable strategies. Boring doesn't mean ineffective. It means reliable, repeatable and proven over time. The least exciting wealth-building methods are often the most effective and here are six to consider. Picking stocks feels like a game but most people lose. Actively managed funds charge high fees and still struggle to beat the market. Index funds require no effort and deliver better results. They spread risk across hundreds of companies, providing steady long-term growth. While others ride the emotional rollercoaster of stock picking, index fund investors let compounding do the heavy lifting. Check Out: For example, according to the S&P 500 has grown an average of 10.52% per year for 30 years, while a fund that tracks it, the SPDR S&P 500 Trust (SPY), has risen 1,180% since 1993. The Nasdaq Composite has been more volatile but still averaged 10.9% yearly over 20 years, with a fund tracking it, ONEQ, growing 823% since 2003. House flipping looks glamorous, but the real money in real estate comes from buying and holding, something that millionaire 'Shark Tank' star and real estate mogul Barbara Corcoran told was 'a very slow way to get very, very rich.' Property values tend to rise over time and rental income provides steady cash flow. Long-term real estate investors don't waste money on rushed renovations or risky flips and while flipping can bring in quick profits, slow and steady often wins the race in the real estate world. The process of manually putting money into savings cab take effort that many people don't want to put in, whereas automated savings eliminate the decision-making process. Setting up automatic transfers into investment accounts may not be the most exciting of 'get rich' schemes, but it makes sure money is saved before it can be spent. It's a habit that some might say is boring, but a habit that builds wealth consistently nonetheless. Dividend stocks don't promise overnight gains but they deliver steady income. Instead of just chasing stocks that may (or may not) skyrocket, smart investors set up dividend reinvestment plans or DRIPs. A DRIP automatically reinvests dividends from stocks and funds, turning even small investments into wealth over time. For example, according to Charles Shwab, a hypothetical $100,000 investment in a fund tracking the S&P 500® Index in 1990 would have grown to over $2.1 million by 2022 with reinvested dividends, but only $1.1 million without. Debt, although sometimes beneficial, can drain cash flow and limit financial flexibility. Car loans, credit card balances and personal debt eat away at long-term wealth. The key is to avoid unnecessary debt, so more money can stay invested and grow. Keeping liabilities low creates financial stability and security. Getting distracted by trendy investments and viral stock tips or making decisions based on fear or panic, can wreck financial progress. Wealth grows more solidly through consistent disciplined strategies. Long-term investors don't panic during market dips or chase the latest hot trend. They create a plan, stick to it and let time do the work. Boring strategies may not make for exciting stories, but what they do is create lasting financial freedom. Flashy risks lead to stress, losses and instability while patience and discipline lead to wealth. Building slowly and predictably beats gambling every time. More From GOBankingRates 5 Luxury Cars That Will Have Massive Price Drops in Spring 2025 4 Things You Should Do if You Want To Retire Early The New Retirement Problem Boomers Are Facing 8 Common Mistakes Retirees Make With Their Social Security Checks This article originally appeared on 6 Boring Ways To Get Rich and Why Boring Is Better Sign in to access your portfolio
Yahoo
25-02-2025
- Business
- Yahoo
Warren Buffett Just Made a Surprise Move. Here's What It Could Mean For the Markets
Warren Buffett watchers eagerly anticipate the Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) quarterly 13F filing, detailing which stocks the holding company bought and sold during the quarter. Buffett rarely talks about the company's specific holdings or what goes into management's investing decisions, although he freely gives over lots of general investing advice. It's up to the Buffett watchers to track Buffett and his investing managers' moves and glean whatever they can. There have been some telling signs in Berkshire Hathaway's trades over the past two years, and the recent 13F confirms some ideas about what Buffett might be thinking today. Berkshire Hathaway made several moves in the 2024 fourth quarter. Most of them were sales, although there were some additions and a new position in Constellation Brands. It completely sold out of its position in Ulta Beauty, and the big surprise was that it also sold off its two exchange-traded funds (ETFs): the Vanguard S&P 500 ETF (NYSEMKT: VOO) and the SPDR S&P 500 Trust (NYSEMKT: SPY). This might seem surprising to investors who have heard Buffett frequently recommend buying these kinds of ETFs that track the market. He has said several times over the years that most investors should invest in the market, and that he expects to put 90% of whatever he leaves his wife after his death into such a fund. However, there are several caveats I would add to what he's said in the past. The first is that he has given this advice for non-professionals. Most individual investors have day jobs, and they're not analyzing stocks all day (hopefully). This is Buffett's day job. So it's not a "not for me but for thee" kind of attitude. It's his professional advice for non-professionals. As an institutional investor, he aims to safely invest money for people who invest in his company, and that strategy might look different than for the individual investor. Second, Berkshire Hathaway only opened these positions in 2019, even though Buffett's been directing the portfolio since 1965. For whatever reason that he hasn't shared, having these positions made sense over the past few years but doesn't anymore. I'll make some conjecture about why in a minute. Finally, these positions never made up a significant portion of Berkshire Hathaway's portfolio, accounting for less than 0.01% of the total portfolio. It was clearly never meant to be a substantial part of the equity portfolio. Berkshire Hathaway has been building up its cash position to its highest-ever levels over the past two years, and that sends some clear messages about what Buffett's thinking about the market. Combined with his net sales of stocks, he seems to think there aren't so many great deals to be had in the market. Buffett buys stocks only when he thinks there's a great company with an undervalued stock. The emphasis is on "great company," but the price is also important. He has said that it's better to buy a great stock at a fair price than a fair stock at a great price. But price is still important. Another famous quote is that he tries "to be fearful when others are greedy and to be greedy only when others are fearful." Today's market falls into the "fearful when others are greedy" camp, with valuations starting to look extremely expensive. If you know anything about Buffett, pulling out of some positions is perfectly in line with his investing approach. There are some strong indications here that Buffett thinks the market is overpriced. A further implication is that it might be due for some kind of correction. He hasn't said this straight out, and there's no guarantee of what might happen next. But what is guaranteed is that there will be a correction at some point, because there are always ups and downs in the market. When Buffett bought these ETFs, the market wasn't looking expensive. It could be that it made sense to invest in the market as a hedge since he strongly believes in the market. At the current valuation, Buffett might have other uses for that money, in an institutional investor kind of way. I don't think that anyone who owns a market-tracking ETF should sell shares immediately, and I don't imagine Buffett would recommend doing so. If you own one, let it follow the ups and downs of the market over time. If you believe in the stock market, it's an excellent way to benefit while minimizing your risk. Ever feel like you missed the boat in buying the most successful stocks? Then you'll want to hear this. On rare occasions, our expert team of analysts issues a 'Double Down' stock recommendation for companies that they think are about to pop. If you're worried you've already missed your chance to invest, now is the best time to buy before it's too late. And the numbers speak for themselves: Nvidia: if you invested $1,000 when we doubled down in 2009, you'd have $337,818!* Apple: if you invested $1,000 when we doubled down in 2008, you'd have $46,848!* Netflix: if you invested $1,000 when we doubled down in 2004, you'd have $533,073!* Right now, we're issuing 'Double Down' alerts for three incredible companies, and there may not be another chance like this anytime soon.*Stock Advisor returns as of February 24, 2025 Jennifer Saibil has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Berkshire Hathaway, Ulta Beauty, and Vanguard S&P 500 ETF. The Motley Fool recommends Constellation Brands. The Motley Fool has a disclosure policy. Warren Buffett Just Made a Surprise Move. Here's What It Could Mean For the Markets was originally published by The Motley Fool Sign in to access your portfolio
Yahoo
20-02-2025
- Business
- Yahoo
Vanguard ETF poised to overtake State Street's fund as world's biggest
By Suzanne McGee (Reuters) - Vanguard Group's Standard & Poor's 500 ETF is on the edge of finally seizing the title of the world's largest exchange-traded fund from rival State Street Global Advisors' product, the SPDR S&P 500 Trust, according to data from FactSet, LSEG and other sources. As of late Friday, the State Street fund was still clinging to the lead, with $633.1 billion in assets compared with $631.8 billion for the Vanguard ETF. That gap, however, has been narrowing consistently in recent months. Final data for inflows into both ETFs will not be available until later on Tuesday or Wednesday morning, FactSet and others said. Analysts at Citi Research tracking monthly flows into and out of exchange-traded funds reported earlier this month that SPY had $19.4 billion in outflows, accounting for 25.7% of all U.S. equity ETF outflows. Meanwhile, the Vanguard ETF raked in 12.9% of all inflows in January, for a total of $21.3 billion. The SPDR ETF, launched in 1993, was the first U.S. exchange-traded fund. It has reigned as the largest U.S. stock ETF ever since and remains the first choice of hedge funds and traders who prize its liquidity and tight trading spreads. But Vanguard's lower-fee challenger, launched in 2010, won admirers among financial advisors and retail investors interested in paring costs to the bone. "SPY's transition from being primarily an investment tool to more of a trading vehicle has made flows more volatile," said Ryan Jackson, senior analyst of passive strategies at Morningstar. The ETF industry has also undergone massive changes, with the three biggest firms in the U.S. industry - BlackRock, Vanguard and State Street - coming under siege from relative newcomers. "There is now more of a fight for market share," said Anna Paglia, who last year left her post as global head of ETFs at Invesco to join State Street as executive vice president and chief business officer. "SPY does keep growing in size because it's still the most traded ETF in the world," Paglia told Reuters. She added that flows into and out of SPY tend to be seasonal in nature and that outflows early in the year are "not unforeseen." Moreover, Paglia said flows into a retail-focused S&P 500, the SPDR Portfolio S&P 500 ETF remain robust. According to the recent Citi Research report, this ETF - a "mini" version of SPY launched in 2005 designed to appeal to retail investors and with fees of only 0.02% - was the fifth-largest ETF in terms of inflows for January, attracting $3.2 billion. "We don't look at SPY in isolation," Paglia told Reuters. "We look at the ecosystem." That does not alter the reality that Vanguard's ETF may have finally toppled its State Street rival, said Todd Rosenbluth, head of research at VettaFi. "State Street remains a dominant player in the ETF universe, but these are two different products."
