This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

4 ETFs for Homegrown Energy

By taking aim at indices dominated by smaller, independent producers such as the SPDR S&P Oil & Gas Exploration & Production ETF (IEO) and the First Trust ISE Revere Natural Gas Index ETF (FCG) can help investors keep their energy exposure close to home. The Guggenheim Canadian Energy Income ETF (ENY) is another product to keep an eye on.

In addition to focusing solely on Canada-based energy producers, the fund offers an attractive dividend that will likely be appealing in the event that high energy prices upend the market's strength.

Already, investors have witnessed first-hand the benefits of using FCG and IEO to play the energy field. Over the past month period, both funds have managed to handedly outpace large-cap-dominated products like the Energy Select Sector SPDR (XLE) and the iShares S&P Global Energy Sector Index Fund

The looming threat of rising energy prices will continue to dominate discussion and impact investor sentiment until some sort of resolution is resolved. While a band-aid-like solution like the one we saw last summer is likely, aggressive long term-minded investors may find funds like IEO and FCG to be attractive bets on a more-dramatic shift in this sector.

Whatever option is exercised, however, investors must use caution. As with any sector-specific ETF, these energy products should be viewed as small, niche holdings.

Written by Don Dion in Williamstown, Mass.

RELATED ARTICLES:


At the time of publication, Dion Money Management did not own any equities mentioned.
2 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
ENY $10.07 0.00%
FCG $8.86 0.00%
IEO $69.82 0.00%
TOT $48.61 0.00%
XOM $83.14 0.00%

Markets

DOW 17,730.11 -27.80 -0.16%
S&P 500 2,076.78 -0.64 -0.03%
NASDAQ 5,009.2140 -3.9090 -0.08%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs