Because the three main indexes have slid in the past few weeks, now they may not seem as the best time to invest in shares. It is always tempting to buy when we see that certain stocks or assets are growing, because we can easily imagine our return if the momentum goes on. The idea is to jump on the belt and see your investment right away.
But as strange as this may sound at first, truly achieve the victory of investment, one of the best things is to consider buying in these periods of uncertainty. Why? Because quality shares and other assets can be traded at favorable prices, which means that you can collect them for the song and continue to benefit after recovering and progressing in the long run.
It is important to remember that, in general, elements that worry the market – from the decision of government policy to growth inflation or a recession – It won’t last forever. Today, investors are concerned about the tariff of President Donald Trump on imports from China, Canada and Mexico and the influence they will have on economics and corporate earnings.
This will indeed represent the wind, but quality companies will be able to manage these times and go forward. In view of that is SPDR S & P 500 ETF TRUST (Nysemkt: Spy) – The bet on S & P 500 – The smartest investment you can invest today? Let’s find out.
First, let’s talk a little about this type of investment. It is a fund that trades it on the stock market (ETF), an instrument that includes many different supplies based on a particular topic, such as retail or biotechnics, or according to the presence of players in a particular index, and the latter is the case with the fund we are talking about today.
Like shares, ETF shirts on the market daily. So, if you are familiar with the purchase of shares, you can buy ETF in the exact same way. One thing to be aware is that ETF is coming with a management fee, expressed as a cost ratio. To preserve your gains over time, look for an ETF with cost ratio less than 1%. With a ratio of 0.09%, the SPDR S&P 500 ETF is largely suited to the account.
Now we will consider this ETF separately and whether it is a smart shopping for you. SPDR S&P 500 ETF follows the performance of the S&P 500, so it is truly a bet on the overall stock market. It is important to remember that this index involves top -end companies that run today’s economy and regularly adjust to always happen. So, by investing here, you will always be exposed to the leaders of the moment.
