FINSUM

FINSUM

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الإثنين, 18 آب/أغسطس 2025 07:48

The Best Total Market Bond Funds Right Now

Investors with goals in the three- to 10-year range, those already retired, or anyone seeking portfolio stability often benefit from including bonds. Fixed-income exchange-traded funds (ETFs) offer a simple and cost-effective way to gain this exposure, with many tracking indexes that provide transparency on duration and credit quality. 

 

Low expenses are especially important for bond ETFs, where returns are typically more modest than in stocks, making cost efficiency a key driver of performance. Morningstar’s highest-rated Gold Medalist bond ETFs—such as Vanguard Total Bond Market ETF (BND), iShares Core US Aggregate Bond ETF (AGG), and Fidelity Total Bond ETF (FBND)—can serve as solid anchors for the fixed-income portion of a portfolio. 

 

These ETFs span categories like intermediate-term core and core-plus bond funds, with some offering added flexibility to invest in high-yield, bank loans, or emerging-market debt. 


Finsum: For investors seeking stability, diversification, and liquidity, these total market bond ETFs provide a strong starting point.

الإثنين, 18 آب/أغسطس 2025 07:47

The Battle for ESG Isn’t Over

Despite political pushback and policy rollbacks, most large U.S. companies have maintained or even increased their sustainability investments in 2025, according to a survey by EcoVadis. 

 

Nearly half of executives said spending remains steady, while about a third reported higher investments paired with reduced public promotion — a trend dubbed “greenhushing.” The findings suggest that firms increasingly view supply chain sustainability as a strategic advantage, with many citing its role in attracting customers and maintaining operational stability. 

 

Only a small share have cut back, underscoring a belief among corporate leaders that sustainability supports long-term growth, even if it’s less publicly advertised. Concerns remain over regulatory rollbacks, with nearly half of C-suite leaders warning they could increase supply chain disruptions. 


 

Finsum: The data points to a quieter but still committed corporate approach to sustainability in the face of shifting political and regulatory landscapes.

الإثنين, 18 آب/أغسطس 2025 07:10

Options Based ETFs Could Optimize Hedging and Tax Strategy

Investors seeking to diversify or enhance income potential have increasingly turned to options-based ETFs, which have proliferated over the past two years as market conditions favored their growth. 

 

Rising interest rates and bond market challenges have driven demand for strategies that generate income from option premiums, particularly in volatile markets. These ETFs span a wide range of asset classes—from equities and bonds to alternatives like bitcoin and gold—allowing investors to either augment returns on existing exposures or diversify income sources. 

 

By combining traditional asset exposure with systematic covered call writing, these funds provide double-digit distribution rates while optimizing after-tax returns. 


Finsum: For income-focused investors, especially those mindful of tax efficiency, options-based ETFs represent a compelling complement to more traditional income-generating assets.

الخميس, 14 آب/أغسطس 2025 07:18

Active Fixed Income Could Solve Your Tariff Related Blues

Tariff-related market volatility in 2025 highlighted the stabilizing role of fixed income, as broad bond indexes delivered 4% to 7.25% returns in the first half of the year, largely from higher coupon income. The April tariff announcement initially triggered a sharp sell-off in risk assets, but bonds held steady, underscoring their resilience compared to equities. 

 

While the most extreme tariff scenarios have been avoided, a projected U.S. weighted average tariff rate of around 12% is still expected to influence inflation, growth, and interest rate paths. Higher yields now provide a stronger income cushion than in prior years, reducing the downside impact of rising rates and enhancing potential returns if rates fall. 

 

Active fixed income ETFs can be especially well-suited for this environment, as managers can tactically adjust duration, credit quality, and global exposure to navigate tariff-driven market shifts. Investors are finding opportunities in high-quality bonds and global fixed income as hedges against policy-driven uncertainty.


Finsum: Tariffs remain a key macroeconomic variable shaping strategy, even in a more moderate form than initially proposed.

الخميس, 14 آب/أغسطس 2025 07:17

Three ETFs for Global Large Cap Exposure

Global equity ETFs are gaining attention as investors seek cost-effective exposure to international stocks, even as 2025’s first half brought mixed results amid resilient earnings, easing inflation, and rising geopolitical risks. 

 

European-domiciled global large-cap blend ETFs pulled in €30 billion between January and May, reflecting a surge in popularity over the past year. Morningstar analysts screened 152 funds in this category, identifying 16 passively managed ETFs with Silver Medalist Ratings based on their high long-term performance potential. 

 

Among the largest are the iShares Core MSCI World UCITS ETF (EUNL), Vanguard FTSE All-World UCITS ETF (VWRL), and Xtrackers MSCI World UCITS ETF (XDWL), all of which delivered solid one-year returns despite modest year-to-date declines. These ETFs track broad global benchmarks and, in some cases, outperformed them slightly over the past year. 


Finsum: For investors looking to diversify beyond U.S. markets, these highly rated global funds offer a straightforward, low-cost entry point.

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