1 / 31

ETFs vs. Mutual Funds Market Comparison & Forecast

Explore the similarities and differences between ETFs and Mutual Funds, with insights on market performance and forecasts. Discover how both options can benefit your portfolio, including examples of key indices. Learn about the advantages and considerations of each investment type to make informed decisions. Plan your investment strategy effectively with this comprehensive guide.

fayec
Download Presentation

ETFs vs. Mutual Funds Market Comparison & Forecast

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Mutual ETF Fund ETFs vs Mutual Funds Which are Better?

  2. moneyadvice@work Your employer sponsors this great benefit! • Sales-free money advice • We keep it confidential • Any money topic is on the table • No user fees

  3. how to connect on-the-go onsite Now, with advisor messaging!

  4. Download at Apple App Store or Google Plan Store Search for MoneyAdvice@Work

  5. our agenda ETFs versus Mutual Funds Market Review and Forecast

  6. how they are alike • Both allow purchase of basket securities • Baskets allow for diversification • Investors pay for investment management

  7. fill the boxes LARGE MID SMALL VALUE INDEX GROWTH

  8. baskets can perform differently Inflationary Upturn Emerging Markets Equity Stocks Emerging Markets Debt HardAssets Cash TIPS Bonds Growth Bonds Recession Stagflation Inflation Chart Design by PIMCO

  9. Highest Highs and Lowest Lows Best and Worst One Year Returns for Key Indices from 1993-2015 Source: Morningstar. Past performance is no guarantee of future results.

  10. Highest Highs and Lowest Lows Best and Worst One Year Returns for Key Indices from 1993-2015 6.4% 6.7% 2.1% 8.0% 8.3% 8.8% 9.6% 9.1% 2.7% 5.7% 4.9% Average Annualized Return Source: Morningstar. Past performance is no guarantee of future results.

  11. how they’re different • Most ETFs are index funds • ETFs offer greater trading flexibility • ETFs minimums differ

  12. index vs. active • Attempts to beat market • Can be more costly • May perform better in down markets* • Attempts to match market • Typically lower cost • Historically better in up markets* *Historically passive outperforms active management in periods of economic expansion. Additional supporting details available upon request.

  13. ETFs can be bought/sold throughout the trading day

  14. ETFs can be purchased one share at a time

  15. ETFs are ideal for … • Those who want to buy/sell during the day • Those to want invest in small increments • Those who want to build a very low cost portfolio

  16. our agenda ETFs versus Mutual Funds Market Review and Forecast

  17. keeping your funds top notch • Committee reviews quarterly • Francis conducts due diligence • Changes occur automatically

  18. fund change (February 2019) Harbor International Fund American Funds EuroPacific Growth Fund

  19. fund change (February 2019) Morgan Stanley Frontier Markets Fund Oppenheimer Emerging Markets Fund

  20. what is frontier?

  21. Market Update

  22. crisis of confidence • What if interest rates…… • What if trade wars …... • A recession will come, but no one tell when

  23. which is it? “China’s 2018 growth rate was the slowest annual pace recorded since 1990.” “In 2018, China’s growth rate is estimated to be over double that of the US.” https://www.wsj.com/articles/china-annual-economic-growth-rate-is-slowest-since-1990-11548037761, 2018 US GDP Growth Rate 2.9% Source: Francis Investment Counsel. Based on 2018 estimated US GDP growth rate of 2.9%

  24. market performance recap market index returns-one year ending 3/14/19 Source: StyleAdvisor. Past performance is no guarantee of future results.

  25. market performance recap market index returns-five years ending 3/14/19 Source: StyleAdvisor. Past performance is no guarantee of future results.

  26. looking ahead • International markets remain good value • Recession over the near term seems unlikely • Clouds on horizon…. Trade and interest rates

  27. moneyadviceatwork.com/foth Or call 866-232-6457 Francis Investment Counsel does not provide legal or tax advice. As investment returns are variable, we cannot guarantee any certain investment return or result. Historical performance information has been compiled from sources we believe to be reliable, but we cannot guarantee its accuracy or completeness. Past performance is not a guarantee of future results.

More Related