2020 Top ETFs
I wanted to post on the top performing ETFs, closing out 2020. These returns are exceptional as they outperformed most individual stocks (by a lot), while reducing risk.
What is ETF?
Exchange traded funds (ETFs) offer diversified, low-cost and tax-efficient access to the world’s investment markets. ETFs are designed to track the performance of specified indexes, less fees.
Access to many stocks across various industries
Low expense ratios and fewer broker commissions.
Risk management through diversification
- ETFs exist that focus on targeted industries
Actively-managed ETFs have higher fees
Single industry focus ETFs limit diversification
Lack of liquidity hinders transactions
Popular ETFs 1 Year Return
Power Shares Nasdaq 100 (QQQ) 41.6%
SP500 Index Mid/Large Cap (SPY) 16.12%
SP500 Retail (XRT) 59.14%
iShares Russell 1000 (IWF) 31%
Energy Select (XLE) -27.11%
2020 Top Performing ETFs
VanEck Vectors Semi (SMH) 61%
O'Shares (OGIG) 97%
ARK Fintech (ARKF) 99%
Global Lithium/Battery (LIT) 104%
Renaissance IPO (IPO) 106%
Amplify Online Retail (IBUY) 115%
Ark Next Gen Internet (ARKW) 146%
Ark Innovation (ARKK) 146%
Invesco Clean Energy (PBW) 172%
Ark Genomic Rev (ARKG) 184%
Invesco Solar ETF (TAN) 191%