zanesa的部落格

The Zacks Analyst Blog Highlights: ProShares Short Russell 2000 ETF, ProShares Short MidCap400, ProShares Short Dow 30 ETF, ProShares Short S&P500 ETF and Direxion Daily Total Market Bear 1x Shares ETF

PR Newswire

CHICAGO, Aug. 7, 2014

CHICAGO, Aug. 7, 2014 /PRNewswire/ -- Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include the ProShares Short Russell 2000 ETF (AMEX:RWM-Free Report), ProShares Short MidCap400 (AMEX:MYY-Free Report), ProShares Short Dow 30 ETF (AMEX:DOG-Free Report), ProShares Short S&P500 ETF (AMEX:SH-Free Report) and Direxion Daily Total Market Bear 1x Shares ETF (AMEX:TOTS-Free Report).

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

Here are highlights from Wednesday's Analyst Blog:

5 Inverse ETFs for a Shaky Market

After a smooth ride despite geopolitical tensions in the first half of the year, the U.S. stock market stumbled in recent sessions. The trend reversal came despite strong earnings growth, improving domestic economic fundamentals and an accelerating job market (read: 4 Ways to Play Earnings Growth with ETFs).

Notably, the S&P 500 plunged about 3.6% from the all-time high recorded on July 24 while Dow Jones tumbled 4.2% from the record high reached on July 17, suggesting a bigger drop in the days ahead. This is especially true, as the sentiment in equity markets is becoming more bearish of late due to heightened uncertainty and a slew of negative news.

Argentina default, deepening Russian sanctions, continued turmoil in Ukraine and Middle East, concerns over the health of the European economy, Portugal banking woes, slowdown in Chinese economy and a possible interest rate hike in U.S. sooner than expected sparked fears and shook the complacency in the stock market.

Apart from these, the International Monetary Fund (IMF) provided gloomy outlook for the U.S. last month. It projects the weakest economic growth since the Great Recession ended and cut its growth outlook from 2% to 1.7% for this year. This is the second downward revision in two months. The new forecast is well below last year's growth of 1.9% and the Fed's projection of 2.1% (read: Leveraged Volatility ETFs in Focus).

Further, the U.S. stocks still look expensive at current levels and small caps are experiencing a sharp downfall. All these worries are expected to keep the stock market volatile, which investors could ride out through inverse ETFs. While there are several options available in the space, we have highlighted five ETFs that are widely spread across a number of sectors and are not concentrated on a particular sector or industry.

These products have provided handsome returns over the trailing one-month period and are expected to do so, especially if the current trends persist in the months ahead.

ProShares Short Russell 2000 ETF (AMEX:RWM-Free Report)

This fund seeks to deliver inverse exposure to the daily performance of the Russell 2000 Index. The fund has amassed $848.2 million and trades in heavy volume of 1.7 million shares per day. It charges 95 bps in fees per year and gained over 7% in the trailing one-month period.

ProShares Short MidCap400 (AMEX:MYY-Free Report)

This ETF targets the mid cap segment of the broad U.S. equity market from the bearish perspective. This is done by tracking the inverse performance of the S&P MidCap 400 Index. The fund is less popular and less liquid with AUM of $138.9 million and average daily volume of roughly 146,000 shares. Expense ratio came in at 0.95%. MYY is up over 5% in the same period.

ProShares Short Dow 30 ETF (AMEX:DOG-Free Report)

This product seeks to deliver inverse exposure to the daily performance of the Dow Jones Industrial Average, which includes the 30 blue chip companies. The fund has managed $296.9 million in its asset base while charging 95 bps in fees and expenses. Volume is moderate as it exchanges more than 332,000 shares per day on average. DOG gained nearly 3.6% over the past month (read: Bet on This Top-Ranked Large-Cap Growth ETF).  

ProShares Short S&P500 ETF (AMEX:SH-Free Report)

This fund provides inverse exposure to the daily performance of the S&P 500 index. It is the most popular and liquid ETF in the inverse equity space with AUM of nearly $1.6 billion and average daily volume of around 3.4 million shares. The fund charges 90 bps in annual fees and added nearly 3% in the same period.

Direxion Daily Total Market Bear 1x Shares ETF (AMEX:TOTS-Free Report)

For a broad U.S. market play from a bearish perspective, TOTS seems an intriguing choice. This fund provides inverse exposure to the daily performance of the MSCI US Broad Market Index. The product is often overlooked by investors as depicted by its AUM of $1.1 million and average volume of under 5,000 shares per day. Compared to ProShares counterparts, the ETF charges a low annual fee of 65 bps. The fund was up 3.5% in the same period.

Bottom Line

As a caveat, investors should note that such products are suitable only for short-term traders as these are rebalanced on a daily basis (see: all the Inverse Equity ETFs here).

Still, for ETF investors who are bearish on the equity market for the near term, either of the above products could make an interesting choice. Clearly, a near-term short could be intriguing for those with high-risk tolerance, and a belief that the "trend is your friend" in this corner of the investing world.

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today.

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros.  In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros.

Get the full Report on RWM - FREE

Get the full Report on MYY - FREE

Get the full Report on DOG - FREE

Get the full Report on SH - FREE

Get the full Report on TOTS - FREE

Follow us on Twitter: http://twitter.com/zacksresearch

Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.

Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.com
http://www.zacks.com

Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Logo - http://photos.prnewswire.com/prnh/20101027/ZIRLOGO

SOURCE Zacks Investment Research, Inc.