I didn't realize that NTSX, NTSI, and NTSE were leveraged. There's even MORE reason to avoid them. If the values of the stocks and bonds drop enough, the fund could get wiped out, and shareholders would miss out on the rebound. This game over scenario is a deal breaker for me.stormcrow wrote: ↑Thu Jun 03, 2021 10:46 amYou are correct in the stock holdings of these funds, but missing the additional bond futures component. Basically, in one fund you get a 90/60 stock & bond allocation (to somewhat oversimplify). To do this on your own at the same price level would require futures, which is of course, doable.jhsu802701 wrote: ↑Wed Jun 02, 2021 11:45 pm While I'm a big fan of certain WisdomTree funds (DFJ, DGS, and DGRE), I just don't understand the point of NTSX, NTSI, and NTSE. Even if I wanted to own bonds or bet on the direction of interest rates (which I don't), I'd rather just buy my bonds, bond funds, or bond futures separately.
Although I'm bullish on international stocks and own several ETFs consisting of them, NTSI and NTSE don't offer anything of value that my top picks do not. In fact, they have roughly the same price/book ratio of DGRE (emerging markets dividend growth) WITHOUT DGRE's focus on premium quality stocks.
Also, as a side note, I find your tracking of potentially undervalued markets very interesting. I only wish I was more persuaded that mean reversion is always applicable.
The only people with any business owning these funds are speculators.