Be Thankful to These ETFs This Year

Core Insights - Despite a turbulent year marked by geopolitical changes, technological advancements, and Federal Reserve policy shifts, investors are finding reasons to be optimistic as the SPDR S&P 500 ETF Trust (SPY) has gained approximately 12.7% year-to-date as of November 21, 2025 [1] Market Volatility - The early part of 2025 saw significant stock market volatility due to trade uncertainties under the Trump administration and a less dovish Federal Reserve [2] - April was particularly volatile, driven by President Trump's aggressive tariff measures, including the "Liberation Day" tariffs, which caused market shockwaves [4] Recovery Factors - Following the initial slump in April, easing trade tensions and subsequent trade negotiations helped stabilize the markets [5] - The Federal Reserve's first rate cut of the year in September lowered borrowing costs, which revived investor risk appetite, particularly benefiting the high-growth tech sector [5] AI Sector Challenges - The artificial intelligence sector faced overvaluation threats and concerns about circular financing in the latter half of the year, with notable figures like OpenAI's CEO suggesting the AI market may be in a bubble [6] ETF Performance - Several exchange-traded funds (ETFs) have emerged as strong performers in 2025: - Breakwave Tanker Shipping ETF (BWET) has shown a year-to-date performance increase of 134.4% [8] - Sprott Lithium Miners ETF (LITP) has increased by 72.6% year-to-date [9] - Simplify Health Care ETF (PINK) has gained 24.9% year-to-date [10] - Tema Oncology ETF (CANC) has risen by 41.9% year-to-date [11]