Are you an aggressive growth investor? If so, you may want to consider investing in a U.S. Small Cap Growth ETF. Small cap growth equities are generally considered one of the most aggressive equity asset classes available. But, with over 1900 ETFs available, how do you find one with a great long-term track record. Fortunately, there are only 9 US Small Cap Growth ETFs listed at etfdb.com and only 7 of them are 10 years old or older. Long-term performance is the #1 thing I look at when selecting an asset to invest in. Here is the list of ETFs I’ll be comparing:
A few months ago Mr. David Moadel interviewed me and gave me the opportunity to explain in detail my methodology to investing. If you’d like to know what this Deep Value ETF investing is all about, please enjoy David’s interview right here:
Have you considered adding any single country ETFs to your portfolio? If so, I would like to bring your attention to an ETF that has had great long-term performance but recently experienced a nice market dip due to some geopolitical rhetoric from both sides of the Pacific.
Have you considered adding Consumer Defensive (Staples) stocks to your investment portfolio? If so, you need to know that not all the ETFs that track this sector are built the same. In this article, I will show you how I decided on the Consumer Defensive ETF that I invest in.
I have had more than a few people ask me what is the performance of The Deep Value ETF Accumulator. I haven’t had a good answer because I don’t track it and it isn’t necessarily my primary goal. My primary goal is to build a very large portfolio of ETFs from all the great performing sectors of the market that I can find. Secondary to that is performance; which I do strive for by buying these ETFs at the best prices I can get.
There is sufficient information in the financial and academic communities that Large Cap Value funds tend to outperform Large Cap Blend funds over long periods of time. I could cite many reports, news articles and academic papers to show support for this claim. But, I’d rather just jump right into the data that is readily available to all of us with a few online tools. My favorite tool for this job is: PortfolioVisualizer.com
By now, most of you know that the country of Brazil has fallen on hard times and is plagued by political turmoil. Enough said about that. The iShares MSCI Brazil Capped ETF – EWZ : $EWZ has been around for 17 years. During those 17 years the country has been plagued with hard times and political turmoil. Not much has changed. One picture says a thousand words to the Deep Value ETF Accumulator.
EWZ is worth the risk to me. Sorry, no deep dive analysis here. This is my analysis, short and sweet.
I do not currently have a position in EWZ, but I do intend to initiate a long-term position in this ETF in the future.
Thanks for reading.
The Deep Value ETF Accumulator, aka Micah McDonald
If you have been considering adding a U.S. Small Cap Value ETF to your portfolio, you have a lot to choose from. There are at least 17 ETFs to pick from in this category. In this article, I will show you how I came up with what I believe is the best ETF in this category for a well-balanced portfolio.
Before I go through that analysis, let’s first look at the long-term performance of the U.S. Small Cap Value asset class. This asset class has long been touted as a volatile yet lucrative place to build wealth over long periods of time. According to portfoliovisualizer.com, this asset class has returned 14.39% since 1972 vs the U.S. Large Cap Blend asset class which has returned 10.17%. Both are respectable returns but look at the effects of compounding on this chart below.
Capital Flows to Where it is Treated Best: ETFs & Index Funds Have Treated Investors Most Excellently
“Capital flows to where it is treated best.” Many of you have probably heard this quote more than once, and should easily understand it, even if you don’t embrace it as universal truth. I like this quote because it just makes good common sense. The quote is normally used in the context of macro-economics, but I believe it is equally valid in the realm of actively managed mutual funds, index funds and ETFs.
How the Deep Value ETF Accumulator Selects a Best in Class Fund
First, I must know that the class of funds that I am selecting has a reasonable chance of meeting or beating the total returns of a broad market index such as the S&P 500. Continue reading “How To Select the Best in Class ETF”