An 2021 is drawing to a close, investors are reflecting on their portfolio positions for the new year. They will need to adjust their portfolios with the end of the easy money and supportive policies, while taking note of potential challenges ahead that could hamper the continued general market recovery.
In the next webcast, Your 10 best investment ideas for 2022, Matthew Bartolini, Head of Research, SPDR Americas, State Street Global Advisors; John Davi, CEO and CIO, Astoria Portfolio Advisors; David Clark, President and Head of Business Development, Astoria Portfolio Advisors; and Cory Laing, Head of Institutional Equity and ETF Sales, Citadel Securities, will set out their outlook for the new year and highlight concrete investment ideas to exploit major macroeconomic trends and specific themes.
For example, high inflationary pressures remain a persistent theme in the current market environment. Investors, however, can look to ETF strategies to weather the storm. For example, the recent launch AXS Astoria Inflation Sensitive ETF (PPI) is an actively managed fund that seeks to invest in securities that are positioned to benefit from an inflationary environment. PPI contains 50 cyclically oriented stocks such as industrials, materials, banks and homebuilders that have historically been sensitive to inflation. The fund is also exposed to physical commodities and TIPS through securities and ETFs, providing an overall mix that is unique in the ETF space.
Investors can also look for return-generating strategies to help strengthen their income. the SPDR S&P Dividend ETF (NYSEArca: SDY) owns companies that have a 20-year minimum dividend increase streak for inclusion. Additionally, SDY follows a yield weighting methodology that allocates a greater weight to those with higher yields, so the portfolio leans towards mid-sized companies.
In addition, the SPDR S&P 500 High Dividend ETF Portfolio (SPYD) tracks an index that tries to pick the 80 most dividend-paying companies in the S&P 500.
Finally, bond investors could supplement existing credit positions in high yield, investment grade credits with alternatives such as bank loans that access variable rates, increase the capital structure and reduce exposure to duration. . Active management SPDR Blackstone / GSO Senior Loan ETF (NYSEArca: SRLN) could help investors with better exposure because a manager is more freely able to squeeze in and out of the fixed income market. Blackstone / GSO, which sub-advises SRLN, is backed by one of the world’s largest senior loan asset managers.
Financial advisors who want to learn more about investment ideas for 2022 can register here for the Monday January 10 webcast.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.