![]() Investing in growth companies offers you the chance to earn greater returns from climbing stock prices, but this approach is riskier than other strategies. As the name suggests, growth is the priority-that means growth companies reinvest their profits in order to expand their businesses more rapidly. Growth investing is strategy that aims to buy the stocks of companies that are growing their revenues or cash flows faster than the rest of the market. Yet, investors need to be mindful that the investment markets during these periods have favored those types of growth stocks. The Morningstar gold-ranked fund with category beating performance during the one- through 15-year periods says QQEW has done a good job for investors. It is underweight in the financial services and healthcare sector. QQEW’s portfolio owns a higher concentration of utility, technology, industrial and consumer staples companies than its category peers. ![]() It also adds a slight nudge toward the value stock end of the spectrum in a portfolio that otherwise tilts toward large, fast-growing companies. The equal-weight strategy ensures that no single company dominates the fund. ![]() The fund’s equal-weight strategy is in contrast with market-cap-weighted funds, which own companies in proportion to their size. ![]() The First Trust Nasdaq-100 Equal Weighted ETF begins with the 100 most prominent companies on the Nasdaq stock exchange, excluding financial firms, then holds them in equal one-percent proportions. ![]()
0 Comments
Leave a Reply. |
Details
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |