See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
SPDR SSgA US Large Cap Low Volatility Index ETF (LGLV) - free report >>
We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
SPDR SSgA US Large Cap Low Volatility Index ETF (LGLV) - free report >>
Image: Bigstock
Low Volatility ETF (LGLV) Hits New 52-Week High
For investors seeking momentum, SPDR SSGA US Large Cap Low Volatility Index ETF (LGLV - Free Report) is probably on the radar. The fund just hit a 52-week high and is up 28% from its 52-week low price of $129.77/share.
But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea of where it might be headed:
LGLV in Focus
SPDR SSGA US Large Cap Low Volatility Index ETF provides exposure to stocks with lower volatility receiving the highest weights, subject to liquidity constraints. It has key holdings in financials, industrials and real estate with double-digit exposure each. The product charges 12 bps in annual fees (see: all the Large-Cap Blend ETFs here).
Why the Move?
The low volatility corner of the broader market has been an area to watch lately, given heightened volatility. While growing anxiety about a slowing U.S. economy, geopolitical tensions and the looming November elections continue to weigh on stocks, the prospect of rate cuts in September has rekindled investors' confidence in the stock market. Low-volatility ETFs have the potential to outpace the broader market in bearish conditions or in an uncertain environment, providing significant protection to the portfolio.
More Gains Ahead?
Currently, LGLV might continue its strong performance, given its weighted alpha of 20.79 and a low 20-day volatility of 9.54%, per barchart.com.