Enterprising Investor Forum

Wide-Moat ETFs Tuesday, December 18, 2007

In times of increased volatility, investors may have a difficult time deciding where to put their money to work. Despite being able to see opportunities arising, especially in specific and beat-down sectors, it is often difficult to actually invest in one single company. Basically, it is very frustrating to have identified the ‘right’ sector but having made a ‘wrong’ call on what company to buy.

As discussed in the past, one way of tackling this is through ETFs. Naturally, these are indexes so do not expect 10-baggers! However, even when looking at ETFs, this does not mean that we cannot screen for the same characteristics we would look for in traditional value plays.

We recently came across and interesting article on Morning* that specifically talks about this and offers some interesting ETFs to study: article link.