This Day On The Street
Continue to site
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

3 ETFs for the Bulls, 3 ETFs for the Bears

NEW YORK ( ETF Expert) -- Las Vegas odds-makers believe the San Francisco 49ers will beat the Baltimore Ravens to win Superbowl XLVII Sunday. That's what is implied by a four-point spread. In contrast, if the professionals did not feel that the 49ers had a definitive edge, there would neither be a spread nor a so-called "favorite."

Yet, an equal percentage of gamblers are likely to bet on a Ravens victory. Some will choose the Ravens because they expect the 49ers to win by three points or fewer. Some will choose the Ravens because they expect the team to win outright. Others will choose a team based on little more than a hunch that one squad will prevail.

Why am I bringing up the big game? In part, it's to illustrate that nobody has any idea who will hoist the Lombardi Trophy. Professional odds-makers, gamblers, grandpas, the guy down the street -- there's not a person who knows how the future will actually unfold. (Note: For what it's worth, I like San Fran.)

Bringing the conversation back around to the world of finance, how many economists successfully "predicted" that U.S. gross domestic product (GDP) would contract in the final quarter of 2012? I haven't seen a single credible "call."

Similarly, how many investment gurus expressed confidence that Greece would still be a member of the European Union by the end of 2012? Didn't an overwhelming majority of folks insist that a "Grexit" was imminent?

Even when a superstar goes out on a limb with a bold prognostication, he/she did not actually know how the future would ultimately play out. Consider hedge fund sage John Paulson. The wunderkind was supposedly prescient for shorting sub-prime loans prior to the 2008 financial collapse. Yet, he went on to lose -53% in 2011 and -18% in 2012 -- hedge fund category returns that ranked "dead last" and second-to-last respectively.

Predictive powers do not exist. Still, the media frequently ask if I am bullish on this or bearish on that. Yes, I have definitive opinions... I was born and raised in New York, for heck's sake. On the other hand, my finest quality as an asset manager is understanding how to minimize the loss when I am wrong.
1 of 3

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
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $117.29 -0.85%
FB $107.12 2.76%
GOOG $766.64 3.20%
TSLA $237.19 3.01%
YHOO $33.71 -0.30%


Chart of I:DJI
DOW 17,888.35 +168.43 0.95%
S&P 500 2,102.63 +22.22 1.07%
NASDAQ 5,156.3060 +47.64 0.93%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs