Economic Landscape - The current economic environment presents heightened uncertainty for investors, driven by concerns over AI bubbles, overvalued U.S. asset prices, and ongoing economic and geopolitical tensions [1] Investment Strategies - Broadening exposure to global equities is recommended as a strategy, with the S&P World Index gaining 16.39% over the past year and 0.91% quarter to date, outperforming the S&P 500 [2] Investor Sentiment - U.S. equity funds experienced a slowdown in demand, with only $1.15 billion added in the week ending Nov. 12, marking the weakest weekly net inflow since mid-October [3][4] - Inflows into U.S. large-cap funds dropped sharply to $2.35 billion from $11.91 billion the previous week, indicating a shift in investor sentiment [4] AI Bubble Concerns - There are growing concerns on Wall Street regarding a potential bubble in the AI sector, with fears that excessive capital inflow may obscure future revenue and profit visibility [5] Sector Exposure - Portfolios heavily invested in U.S. market indexes like the S&P 500 are significantly exposed to the information technology sector, particularly the "Magnificent 7" tech leaders [6] - Approximately 36% of the S&P 500 is allocated to information technology, highlighting the importance of managing concentration risk and ensuring diversification [7] International Equity ETFs - Adding international equity ETFs can enhance geographical exposure and improve overall diversification, with specific ETFs like Schwab Fundamental International Equity ETF (FNDF) and Dimensional International Core Equity Market ETF (DFAI) showing significant exposure to Japan, the U.K., and Canada [8][9] Dividend-Focused Funds - Global dividend-focused funds are recommended for reliable income during market volatility, with options like WisdomTree International Hedged Quality Dividend Growth Fund (IHDG) and Vanguard International Dividend Appreciation ETF (VIGI) offering attractive dividend yields [11][12] Emerging Market ETFs - Emerging market ETFs present opportunities for higher returns, with inflows of $2.17 billion in the week ending Nov. 12, marking a third consecutive week of additions [13] - The Dow Jones Emerging Markets Index has gained 21.05% over the past year and 1.05% quarter to date, indicating strong performance [13]

Group 1 - Legendary investor Howard Marks draws parallels between current AI market excitement and the 1999 dot-com bubble, emphasizing the difficulty in identifying long-term winners [1][2] - Marks states that the U.S. stock market has transitioned from "elevated to worrisome," describing the situation as "lofty but not nutty" and not yet a "mania" [2][3] - He highlights that while AI is expected to change the world, this does not guarantee investment success, questioning whether profits will be captured by AI creators or users [3][4] Group 2 - Marks expresses a near 100% probability that AI will change the world, but a much lower probability that investing in any specific AI company will be profitable [4] - The investment philosophy of focusing on risk control is reinforced, with Marks stating that avoiding losers allows winners to take care of themselves [5][4] - The S&P 500 is currently dominated by seven tech companies, and investors should differentiate between world-changing technology and profitable investments [5] Group 3 - Experts maintain optimistic S&P 500 targets, with Ed Yardeni and Tom Lee both anticipating the index could breach 7,000, indicating a bullish market sentiment [6] - The SPDR S&P 500 ETF Trust and Invesco QQQ Trust ETF closed mixed, with SPY down 0.016% at $671.93 and QQQ up 0.076% to $608.86 [6] - Several AI-linked ETFs are highlighted for potential investment consideration, showcasing varying performance metrics [7][8]

Core Viewpoint - Creating a stream of passive income through dividend stocks is essential for a comfortable retirement, leading many investors to consider dividend ETFs as a viable option [1]. Group 1: Dividend ETFs Overview - Dividend ETFs are preferred by many investors due to their professional management and diversification, with the Schwab US Dividend Equity ETF (SCHD) being one of the most popular options [2]. - The Amplify CWP Enhanced Dividend Income ETF (DIVO) is an actively managed ETF that combines dividend stocks with a covered call strategy, achieving a 5-year return of approximately 44.42%, outperforming SCHD's 32.63% [3][6]. Group 2: DIVO vs. SCHD - DIVO focuses on high-quality large-cap companies with historical dividend and earnings growth, while SCHD primarily holds stocks in the energy sector [4]. - DIVO's top holdings include major companies such as Caterpillar Inc, Apple, and American Express, with net assets around $5.2 billion [4]. - DIVO has a higher expense ratio of 0.56% compared to SCHD's 0.06%, reflecting its active management approach aimed at outperforming market indices [5]. Group 3: Other Competitors - The WisdomTree U.S. Total Dividend Fund (DTD) has posted a 5-year return of 68.96% and received a four-star Morningstar rating, indicating strong performance compared to both DIVO and SCHD [6]. - The SPDR Dow Jones Industrial Average ETF Trust (DIA) invests in 30 blue-chip stocks and has achieved a 5-year return of about 63.56%, with a year-to-date return of 13.91% and net assets of approximately $39.47 billion [7].

Core Viewpoint - The Nasdaq-100 Index has increased approximately 22% year-to-date, driven by strong performances from major technology stocks, particularly the Magnificent Seven [1] Group 1: Market Performance - The Invesco Top QQQ ETF (QBIG) has outperformed with a year-to-date increase of 25.51% [3] - Concerns about stretched valuations in megacap tech stocks are present among investors, but these should not deter investment in ETFs like QBIG [2] Group 2: Economic Outlook - The economic outlook has improved since July, with Bloomberg consensus estimates for 2026 growth returning to 1.8%, close to trend levels [4] - Fiscal stimulus and a strong investment and capital spending outlook are expected to support growth into the next year [4] Group 3: Valuation Comparisons - The S&P 500 Information Technology Index trades at 42x earnings, significantly lower than the 67x seen during the tech bubble 25 years ago, suggesting current valuations are more justified [4] - Today's technology stocks are fundamentally stronger than those during the 1999-2000 period, with a return on equity for the tech sector slightly above 30%, compared to less than 20% historically [5][6] Group 4: Investment Considerations - QBIG is positioned as a better risk-adjusted investment in the tech sector due to its quality and profitability attributes, which are lacking in smaller, more speculative tech companies [7] - Recent performance trends indicate that leadership has shifted towards early-growth stocks and less profitable companies, rather than the Magnificent Seven or other mega-cap names [8]

Core Insights - Vanguard has achieved $315.9 billion in inflows as of November 11, marking a 30% increase compared to the same period last year [1] - Year-to-date inflows have surpassed the total inflows for the previous year, with more than a month remaining in the year [1] Inflows and Performance - October was a record month for Vanguard, with over $50 billion in inflows, contributing to a total of $166 billion in net new assets for the entire ETF marketplace [3] - U.S. equity ETFs received the majority of inflows, followed by taxable bond funds, while international ETFs also showed strong performance [3] Product Offerings - Vanguard's leading funds this year include the Vanguard S&P 500 ETF (VOO) and the Vanguard Total Stock Market ETF (VTI), reflecting the company's strategy of low-cost passive funds [2] - Vanguard has expanded its active ETF offerings in the fixed income sector, launching several new products including the Vanguard Short Duration Bond ETF (VSDB) and the Vanguard High-Yield Active ETF (VGHY) [6][7] Market Trends - Vanguard is maintaining a strong presence in passive funds while also shifting towards active management, particularly in the fixed income market [5] - The complexities of the fixed income market necessitate active management, and Vanguard's new active ETFs aim to meet diverse investor needs [7]

Core Insights - Low-cost ETFs are effective tools for building a diversified stock portfolio without incurring high fees [1] - Investors should consider updating their watchlists with top stocks and ETFs for 2026 [1] Vanguard ETFs Overview - Vanguard offers over 50 equity ETFs with low fees, providing exposure to various market segments and strategies [2] - The Vanguard S&P 500 ETF is the largest S&P 500 ETF by net assets, serving as a broad market investment option [3] - The Vanguard Growth ETF and Vanguard Value ETF are highlighted as strong investment choices for different investor preferences [6] Performance Analysis - Megacap tech-focused growth stocks have driven market performance, leading to the Growth ETF outperforming the S&P 500 and Value ETF [4] - The Growth ETF comprises 60% of its investments in ten leading growth stocks, referred to as the "Ten Titans" [8] Vanguard Growth ETF - The Growth ETF is suitable for investors seeking exposure to high-performing growth stocks, allowing for diversified investments [7] - The ETF's holdings include major companies like Nvidia, Microsoft, and Apple, which are currently at all-time highs [8] Vanguard Value ETF - The Value ETF is appealing for investors looking for industry-leading companies at reasonable valuations, featuring a P/E ratio of 20.5 and a dividend yield of 2.1% [10] - The Value ETF includes only one of the "Ten Titans," Oracle, and focuses on companies like JPMorgan Chase and Berkshire Hathaway [11] - The ETF's holdings are characterized by steady earnings and growing dividends, making it suitable for passive income investors [12] Comparison with S&P 500 ETF - Both the Growth and Value ETFs are considered better buys than the Vanguard S&P 500 ETF due to their ability to align with specific investment objectives and risk tolerance [13] - The expense ratios for the Growth and Value ETFs are 0.04%, slightly higher than the S&P 500 ETF's 0.03% [13] Vanguard U.S. Momentum Factor ETF - The Momentum ETF is designed for traders rather than long-term investors, utilizing a quantitative model to invest in stocks with recent price increases [14] - The fund has a high turnover rate of 76.9%, indicating active trading, which contrasts with the lower turnover rates of the Growth and Value ETFs [15][16] - Over the past five years, the S&P 500 ETF has outperformed the Momentum ETF, suggesting that high trading activity may not yield better returns [16]

Group 1 - The proliferation of leveraged ETFs, single stock ETFs, and 'enhanced income' covered call ETFs has led to market oversaturation, causing confusion for investors [1][2] - The Harvest team is attempting to innovate within their niche by focusing on single stock 'enhanced income' covered call ETFs, which may not be in the best interest of investors [2] - There is a suggestion that the Harvest team should consider selling their fund management business to a larger player due to their sub-scale operations [2]

Market Overview - The S&P 500 index has experienced volatility in November, currently down about 0.31% for the month but gaining approximately 1.7% over the past five days, with optimism surrounding the potential resolution of the U.S. government shutdown and AI-driven growth [1] - UBS forecasts the S&P 500 to reach 7,500 by the end of next year, driven by strong corporate earnings and resilience in the tech sector [2] Earnings and Growth Projections - UBS expects S&P 500 earnings to rise by 14.4% year over year next year, with about half of this growth coming from the technology sector, emphasizing the importance of the "Magnificent Seven" companies in profit gains [3] - Heavy investment in technology and data infrastructure is identified as a key driver of U.S. economic growth, helping to mitigate recession risks despite higher interest rates and trade tensions [4] Market Sentiment and Inflows - U.S. equity funds saw significant inflows of $12.6 billion in the week ending Nov. 5, marking the largest weekly inflow since Oct. 1, with the technology sector attracting $2.38 billion, its highest in five weeks [6] Investment Opportunities - Investors are encouraged to consider ETFs tracking the S&P 500, as UBS's raised forecast presents attractive opportunities for diversification and reduced concentration risk [7] - The Vanguard S&P 500 ETF (VOO), SPDR S&P 500 ETF Trust (SPY), and iShares Core S&P 500 ETF (IVV) are highlighted as key investment options, with VOO having the largest asset base of $788.23 billion [9] Fee Structures and Trading Strategies - VOO and IVV are noted for their low annual fees of 0.03%, making them suitable for long-term investing, while SPY is recognized for its liquidity with a one-month average trading volume of about 80.11 million shares [10] - Equal-weighted ETFs are suggested for investors seeking lower risk profiles, with the S&P 500 Equal Weight Index gaining 7.57% year to date [12] Sector-Specific Investments - For those looking to increase exposure to the tech sector, the Invesco S&P 500 Equal Weight Technology ETF (RSPT) is recommended, providing balanced exposure while maintaining diversification [14]

Core Insights - The State Street SPDR S&P Telecom ETF (XTL) debuted on January 26, 2011, providing broad exposure to the Communication Services ETFs category [1] - XTL is managed by State Street Investment Management and has accumulated over $202.69 million in assets, positioning it as an average-sized ETF in its category [5] - The ETF seeks to match the performance of the S&P Telecom Select Industry Index, which is a modified equal weight index [6] Fund Characteristics - XTL has an annual operating expense ratio of 0.35%, which is competitive within its peer group [7] - The ETF's 12-month trailing dividend yield is 1.12% [7] - The fund's top holdings include Ast Spacemobile Inc (7.32% of total assets), Ondas Holdings Inc, and Ciena Corp, with the top 10 holdings accounting for approximately 42.55% of total assets [9] Performance Metrics - As of November 11, 2025, XTL has returned approximately 38.23% year-to-date and 37.48% over the past year [10] - The ETF has traded between $86.93 and $155.49 in the past 52 weeks [10] - XTL has a beta of 1.13 and a standard deviation of 23.08% over the trailing three-year period, indicating medium risk [10] Alternatives and Comparisons - Other ETFs in the Communication Services space include Vanguard Communication Services ETF (VOX) with $5.69 billion in assets and Communication Services Select Sector SPDR ETF (XLC) with $25.84 billion [12] - VOX has a lower expense ratio of 0.09%, while XLC charges 0.08% [12] - Investors seeking lower-cost options may consider traditional market cap weighted ETFs that aim to match the returns of the Communication Services ETFs [13]

Investment Trend Overview - The investment trend is shifting towards skepticism about American assets, with the iShares MSCI ACWI ex US ETF (ACWX) gaining 26.7% this year compared to a 14.8% increase in the SPDR S&P 500 ETF Trust (SPY) [1] U.S.-China Trade Relations - Recent easing of U.S.-China trade tensions and the Federal Reserve's rate cuts have not improved SPY's performance, which decreased by 0.03% over the past month, while ACWX increased by 0.5% [2] Factors Affecting U.S. Market Appeal - The decline in U.S. market attractiveness began in April following President Trump's "Liberation Day," which caused a selloff in U.S. stocks, bonds, and the dollar [3] - Uncertain policy sentiment and overexposure to U.S. assets are significant factors contributing to the U.S. market's waning appeal [5] Concentration Risks in U.S. Tech Sector - Concerns about AI-led bubbles and overvaluation are impacting major U.S. equity indexes, particularly due to the "Magnificent 7" companies, which constitute about one-third of the S&P 500's market cap [6] - In contrast, Europe's STOXX Europe 600 has a more balanced structure, with its top 10 stocks accounting for only 17% of the index's market cap across various sectors [7] Valuation Comparison - As of November 7, 2025, ACWX has a price-to-earnings (P/E) multiple of 18.44X, significantly lower than the iShares Core S&P 500 ETF (IVV) at 29.89X, indicating that international equities are undervalued [8] Performance of International Equities ETFs - The best-performing international equities ETFs of 2025 include: - First Trust Developed Markets ex-US AlphaDEX Fund (FDT) – Up 41.2% YTD - iShares International Select Dividend ETF (IDV) – Up 37.7% YTD - First Trust Developed Markets ex-US Small Cap AlphaDEX Fund (FDTS) – Up 37.6% YTD - Global X MSCI SuperDividend EAFE ETF (EFAS) – Up 31.5% YTD - Franklin FTSE Eurozone ETF (FLEU) – Up 34.4% YTD [9]