Dion's Monday ETF Winners and Losers
NEW YORK (TheStreet) -Welcome to Don Dion's Daily ETF Winners and Losers. Be sure to stop by each day to get a feel of who's winning and who's losing when it comes to ETFs.
Winners
iPath Dow Jones UBS Sugar Total Return Subindex ETN
(SGG) - Get Report
2.6%
Sugar prices crashed last week after reports that Pakistan was taking aim at commodity hoarders and India was forecasting strong yields. In two days, the fund returned to levels last seen at the start of October.
Heading into the new week, investors are once again piling into the sweetener, leading the fund to notable gains. Given the fund's performance over the past week, I would highly recommend that investors not try their luck with SGG. It is likely that they will see rollercoaster-like action.
iShares MSCI Thailand Investable Market Index Fund
(THD) - Get Report
1.9%
Thailand's market got knocked around last week as investors expressed concerns regarding the strength of the global recovery. This week, however, the nation's markets got a jolt, leading THD to some notable gains.
This type of choppy action should be expected from emerging markets like Thailand. Investors need to be careful when venturing into this region of the globe.
Market Vectors Coal ETF
(KOL) - Get Report
1.9%
The coal ETF is the rising today as a major beneficiary to reports that
Caterpillar
(CAT) - Get Report
has its sights set on
Bucyrus
(BUCY)
. The mining equipment firm is listed as one of KOL's largest positions accounting for nearly 4% of the fund's total portfolio.
BUCY was not the only firms seeing a lift today. Reports of the acquisition set off a rally across other KOL components such as
Joy Global
(JOYG)
.
SPDR KBW Bank ETF
(KBE) - Get Report
1.5%
Economic concerns weighed on the banking industry last week, causing KBE to trade in a choppy fashion. However, this week, strength from a number of industry leaders including
JPMorgan
(JPM) - Get Report
,
Wells Fargo
(WFC) - Get Report
and
Citigroup
(C) - Get Report
are helping the fund power higher.
Losers
iPath Dow Jones UBS Natural Gas Total Return Subindex ETN
(GAZ) - Get Report
-9.8%
The premium laden GAZ is tumbling harder than fellow futures-based
United States Natural Gas Fund
(UNG) - Get Report
. This fund's premium continues to balloon and currently stands at over 26%. Investors should continue to avoid this fund entirely. When the premium disappears and the fund reverts back to its underlying assets, those caught holding the fund will be in for a wild and gut wrenching ride.
iPath S&P 500 VIX Short-Term Futures ETN
(VXX) - Get Report
2.9%
Last week was a strong one for the volatility index as issues facing the U.S. and European Union fanned investor concerns regarding the state of the global economic recovery. Heading into the start of this week, however, both VXX and VXZ are lagging, struggling to hold onto previous gains.
All prices as of 2:16 PM EST.
Written by Don Dion in Williamstown, Mass.
At the time of publication, Dion Money Management did not own any equities mentioned.
Don Dion is president and founder of
, a fee-based investment advisory firm to affluent individuals, families and nonprofit organizations, where he is responsible for setting investment policy, creating custom portfolios and overseeing the performance of client accounts. Founded in 1996 and based in Williamstown, Mass., Dion Money Management manages assets for clients in 49 states and 11 countries. Dion is a licensed attorney in Massachusetts and Maine and has more than 25 years' experience working in the financial markets, having founded and run two publicly traded companies before establishing Dion Money Management.
Dion also is publisher of the Fidelity Independent Adviser family of newsletters, which provides to a broad range of investors his commentary on the financial markets, with a specific emphasis on mutual funds and exchange-traded funds. With more than 100,000 subscribers in the U.S. and 29 other countries, Fidelity Independent Adviser publishes six monthly newsletters and three weekly newsletters. Its flagship publication, Fidelity Independent Adviser, has been published monthly for 11 years and reaches 40,000 subscribers.
