Gap Offers Opportunity

The global stock market's market distortion was revealed last week. Let me share it with you in visual form below.

I put together three ETFs: Vanguard S&P 500 ETF (NYSEARCA:VOO) in the blue line representing the S&P 500 broad U.S. stock index; Vanguard Total World Stock ETF (NYSEARCA:VT) in the black line representing the global stock market and Vanguard FTSE All-World ex-US ETF (NYSEARCA:VEU) in the red line representing the stock market outside of the United States.

Vanguard VOO VT VEU Monthly

Source: TradingView

The first chart above depicts the price dynamics since September 2010. Over this long period, the US stock market has outperformed both the global market and the rest of the world.

VOO received +257%, VT received +107%, and VEU received only +21%. Indeed, the gap is huge.

Smart money waits for a market crash before adding or purchasing stocks. In this regard, I've created a new chart below to show how these three instruments have performed from the deep valley in 2020 to the top of 2021. Continue reading "Gap Offers Opportunity"

Massive Amounts Of Money Are Leaving The US For Europe

Matt Thalman - INO.com Contributor - ETFs


SPDR S&P 500 ETF (SPY) is one of, if not the largest ETF's based on net asset value, which currently sits at $177 billion. That should though come as no surprise since the ETF mimics the S&P 500 and is quite frankly the easiest way for investors to diversify their portfolio in stocks, while taking on no more risk than necessary. I often recommended this to others and refer to it as the best one stop shop for investors, regardless of their goals.

But recently, we have been seeing large amounts of money moving out of SPY. January 20th nearly $4 billion was pulled out, during two days, January 28th and 29th, more than $5 billion was removed, $2.4 billion on February 20th, another $2.3 billion on March 20th, another $9 billion from March 26th to the 30th, April 20th another $4 billion, from April 28th to May 1st $8 billion, and May 19th $3.3 billion was pulled out. Continue reading "Massive Amounts Of Money Are Leaving The US For Europe"