With fears of an impending Japanese sell-off and a China slowdown, as well as ongoing sovereign debt woes in Europe, many fund managers are seeking more safety when investing abroad, says Morningstar's Bridget Hughes.
Favorable conditions are in place for merger-arbitrage ETFs, including increasing M&A activity and the likelihood of higher interest rates.
Although a cap-weighted strategy is low-cost, it does make large bets in risky areas.
With a full-fledged economic recovery remaining distant, European stocks turned in a mixed performance.
For those who don't need exposure, it may be time to take profits.
Large-cap U.K. stocks have good exposure to faster-growing emerging markets, have a defensive tilt, and are trading at attractive valuations.
These skippers shone amid a challenging market environment.
Maybe not, as austerity measures, bank deleveraging, and potential political instability create a challenging operating environment in the near and medium term.