ETFs that ‘buy low, sell high’ for you

From time to time, stock market indices become dominated by small groups of stocks. In 1999 and 2000, for example, TMT (technology, media and telecommunications) shares made up a big chunk of the FTSE 100, with Vodafone alone constituting nearly 14% of the index. Financial stocks were similar in 2007/2008.

If you are tracking a capitalisation-weighted index (where a company’s weighting grows with its market value), this kind of concentration should concern you. It often happens when a bubble is forming, leaving you overly exposed to the most vulnerable sectors ahead of any fall.

There’s a simple way [...]

MoneyWeek magazine

Latest issue:

Magazine cover
Paying by mobile

Why your phone will replace your wallet

The UK's best-selling financial magazine. Take a FREE trial today.
Claim 4 FREE Issues
Shale gas 'fracking' promises to transform Britain's energy market. Find out what it is, what it means, and how to invest.

Which investment platform?

When it comes to buying shares and funds, there are several investment platforms and brokers to choose from. They all offer various fee structures to suit individual investing habits.
Find out which one is best for you.