Riding waves of momentum is still possible by using single-industry exchange-traded funds, research finds.
Illustration: Alex NabaumMomentum-trading mutual funds, which try to hold stocks that benefit most from upward market trends, first appeared in the 1980s.
There are still some out there.
But these days, investors who want to ride market upturns—or bet on market reversals—are turning more to single-industry ETFs.
Investors over time have shifted to industry exchange-traded funds as a low-cost alternative to momentum mutual funds, whose returns have faltered over the past 20 years.
Persons:
Nabaum