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Posted by on Nov 21, 2013 in AdvisorShares, Market Insight

AdvisorShares Weekly Market Review – Week Ending 11/15/2013

AdvisorShares Weekly Market Review – Week Ending 11/15/2013

Highlights of the Prior week

The Yo-Yo Continues

Speaking of yo-yos, our team spent some time last week at the Schwab Impact conference and saw an amazing demonstration by a world yo-yo champion – incredible what you can do with a yo-yo these days.

In last week’s commentary we highlighted the downward pressure occurring in the market. We also highlighted the fact that we expect a significant amount of volatility for the foreseeable future as the government gets caught up on economic reporting, then shopping season for the holidays hits and the home stretch for 2014, until we deal with the debt ceiling again.  The top performing market we follow in Table 1 last week was the NASDAQ composite, which also maintained its outperformance for the calendar year.  Interestingly, in Table 3 below, the Index ETF following this sector, the PowerShares QQQ didn’t benefit from this trend.  Perhaps there were profit takers in the market.  The S&P, Dow, and Russell 2000 all performed well on the week continuing the success of the current year’s domestic market rally.  In Table 2 below, the S&P and Russell 2000 Growth were rewarded for their performance with over $800 million on the week going into SPY, and $140 million into IWO.  Additionally, the Russell 2000 as represented by IWM, which focuses on a blended approach to the market, lost over $650 million in assets on the week.

Foreign markets were up on the week with the broader MSCI EAFE Index outperforming the MSCI Emerging Market Index.  For the year, EM is still down while the more developed foreign markets are up but lagging domestic markets by almost 10%.  EM ETFs, EEM and VWO, lost over $2.5 billion in assets on the week as investors continue to punish the poor year to date performance of those markets.

Fixed Income markets were up on the week with the Barclays aggregate returning 0.42%.  Longer term bond ETFs like TLT lost almost $200 million on the week while a short term fixed income ETF, BSV, raised over $150 million in new assets.

11 21 2013 pic 1
Source: AdvisorShares
Past performance is not indicative of future results.

Weekly ETF Flows

For November 11, 2013 to November 15, 2013

Nov.21.13 pic 2

S&P Sector Analysis

As for the sectors of the S&P 500, six underperformed the broad benchmark (Financials, Energy, Industrials, Technology, Utilities and Telecom), while four outperformed (Discretionary, Healthcare, Staples and Materials).  The dispersion between the top performing and bottom performing sectors was 1.78% with the top performing sector being Discretionary and the worst performing sector being Telecom for the second week in a row.

For November 11, 2013 to November 15, 2013

Sector performances, as measured by the S&P 500 sector indices were:

11 21 2013 pic 3
Source: AdvisorShares
Past performance is not indicative of future results.
One cannot invest directly in an index.

The AlphaBaskets blog provides frequent market insight and commentary by AdvisorShares Investments, LLC, created by AdvisorShares and other leading active managers.  AdvisorShares Investments is an SEC-registered investment adviser and the investment adviser to the AdvisorShares actively managed ETFs. The views expressed on AlphaBaskets should not be taken as investment advice or a recommendation for any of the actively managed ETFs advised by AdvisorShares.