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5 Global ETFs Beating S&P 500 in the First Nine Months of 2023
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Despite considerable gains in the first half of the year, Wall Street has recorded sluggish trading lately. Concerns about the possibility of interest rates staying high for longer than expected had an adverse impact on investor confidence and led to the decline.
However, with only one trading day remaining, the Nasdaq Composite Index has emerged as the best-performing index in 2023, recording a notable 26.1% uptick. In comparison, the S&P 500 has seen a 12% increase, and the Dow Jones Industrial Average has risen by 1.6%. All-world ETF iShares MSCI ACWI ETF (ACWI - Free Report) has grown 9.1% in prices so far this year (read: 4 Country ETFs Beating the S&P 500 in Q3).
During its most recent meeting, the Federal Reserve decided to maintain interest rates at their 22-year high, within the range of 5.25% to 5.5%. However, the Fed signaled the possibility of one more rate hike later this year.
While inflation is starting to cool, it remains elevated and is above the Fed's target of 2%. But the decent economic strength and the rising prices of oil may reignite inflationary pressures all over again. Recent indicators suggest that economic activity has been expanding steadily.
Although job growth has slowed somewhat in recent months, it is still robust, and the unemployment rate remains low. Consumer confidence, which was sturdy in the first half of the year, has also started to wane lately (read: Time for Quality ETFs as Consumer Confidence Wanes?).
What’s Brewing in Global Markets?
In recent months, the Chinese economy has slowed down mainly due to the real estate bubble, a high debt load and lackluster growth in the manufacturing industry. India, however, has gained strength. The Euro zone economy is grappling with recessionary fears while its biggest economy, Germany, has been in shambles. All through the year, the UK economy has struggled with high inflation and has found some good news on that front recently (read: Falling UK Inflation Puts ETFs in Focus).
Against this backdrop, below we highlight a few global ETFs that have beaten the S&P 500 this year. Investors will get to see that mostly growth funds topped the list. Though rising rates were prevalent in 2023, the pace of rate hikes slowed this year, which led to a rally in growth funds.
ETFs in Focus
Fidelity Growth Opportunities ETF ) – Up 27.8%
WisdomTree Growth Leaders Fund ) – Up 23.5%
IQ Global Equity R&D Leaders ETF (WRND - Free Report) ) – Up 21.6%
Image: Bigstock
5 Global ETFs Beating S&P 500 in the First Nine Months of 2023
Despite considerable gains in the first half of the year, Wall Street has recorded sluggish trading lately. Concerns about the possibility of interest rates staying high for longer than expected had an adverse impact on investor confidence and led to the decline.
However, with only one trading day remaining, the Nasdaq Composite Index has emerged as the best-performing index in 2023, recording a notable 26.1% uptick. In comparison, the S&P 500 has seen a 12% increase, and the Dow Jones Industrial Average has risen by 1.6%. All-world ETF iShares MSCI ACWI ETF (ACWI - Free Report) has grown 9.1% in prices so far this year (read: 4 Country ETFs Beating the S&P 500 in Q3).
During its most recent meeting, the Federal Reserve decided to maintain interest rates at their 22-year high, within the range of 5.25% to 5.5%. However, the Fed signaled the possibility of one more rate hike later this year.
While inflation is starting to cool, it remains elevated and is above the Fed's target of 2%. But the decent economic strength and the rising prices of oil may reignite inflationary pressures all over again. Recent indicators suggest that economic activity has been expanding steadily.
Although job growth has slowed somewhat in recent months, it is still robust, and the unemployment rate remains low. Consumer confidence, which was sturdy in the first half of the year, has also started to wane lately (read: Time for Quality ETFs as Consumer Confidence Wanes?).
What’s Brewing in Global Markets?
In recent months, the Chinese economy has slowed down mainly due to the real estate bubble, a high debt load and lackluster growth in the manufacturing industry. India, however, has gained strength. The Euro zone economy is grappling with recessionary fears while its biggest economy, Germany, has been in shambles. All through the year, the UK economy has struggled with high inflation and has found some good news on that front recently (read: Falling UK Inflation Puts ETFs in Focus).
Against this backdrop, below we highlight a few global ETFs that have beaten the S&P 500 this year. Investors will get to see that mostly growth funds topped the list. Though rising rates were prevalent in 2023, the pace of rate hikes slowed this year, which led to a rally in growth funds.
ETFs in Focus
Fidelity Growth Opportunities ETF ) – Up 27.8%
WisdomTree Growth Leaders Fund ) – Up 23.5%
IQ Global Equity R&D Leaders ETF (WRND - Free Report) ) – Up 21.6%
Grizzle Growth ETF (DARP - Free Report) ) – Up 21.3%
Innovator Deepwater Frontier Tech ETF (LOUP - Free Report) ) – Up 20.0%