Quality Factor ETFs Outperform Peers in 2023, Thanks to Tech Stocks

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Quality factor exchange-traded funds (ETFs) have emerged as strong performers in 2023, outpacing value, low-volatility, momentum, and size factors. The iShares MSCI USA Quality Factor ETF (QUAL), the largest quality factor ETF with $34 billion in assets, has delivered a year-to-date return of 25%, driven by the performance of major tech stocks. Factor investing assesses specific traits exhibited by companies, and quality focuses on firms with high profit margins, low debt, and consistent earnings.

ETF Newz Says:

According to Robert Hum, U.S. head of Factor ETFs at BlackRock, the Magnificent Seven’s dominance in 2023 underscores the importance of holding these tech-related names in a portfolio. While quality factor ETFs have thrived this year, factor investing is typically considered a long-term strategy, with historical data supporting its effectiveness over extended periods.


Maintain Your Horses! A Space Bitcoin ETF May perhaps well also Already Be Priced into Crypto.

There is a growing belief that the recent price surge in bitcoin could already factor in the potential approval of a spot Bitcoin ETF- a pivotal strategic investment move that holds significant influence in the crypto market. Investors and financial enthusiasts alike are keenly awaiting regulatory approval, a decision that could potentially catalyze the future growth trajectory of bitcoin prices. This speculation underscores not only the potential value that bitcoin holds as a digital asset but also the evolving role of institutional reactiveness in the cryptocurrency landscape.

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