Friday is the last day of the second quarter so now is the
ideal time to have a look at the themes and
that worked well for investors over the past three months.
According to simple screen that we
ran on Finviz
, fewer than 50 ETFs and ETNs are showing second-quarter gains of
10 percent or more.
The Direxion Daily Gold Miners Bear 3X Shares (NYSE:
) is on pace for a second-quarter triple, making it the
best-performing ETF for the quarter. DUST's stellar
second-quarter performance is nothing new. Even with a more than
eight percent loss Thursday, this triple-leveraged bearish play
on gold miners is up almost 450 percent in the past six
DUST also serves as a good segue to exploring some of the
similarities among the second quarters ETF studs. Of the 20 top
ETFs and ETNs after DUST in terms of second-quarter returns, five
are bearish plays on precious metals, including the three best
after DUST. Those three are the ProShares UltraShort Silver
), the ProShares UltraShort Gold (NYSE:
) and the PowerShares DB Gold Double Short ETN (NYSE:
Prior to Thursday, the average quarterly gain for those three
products was nearly 79 percent. Of course, it must be repeated
that there are significant risks involved with leveraged ETFs,
particularly over long holding periods
. They taketh as quickly as they giveth.
Finding non-leveraged star performers among the "Non-DUST 20"
is not hard, but the group is small in number. However, investors
may already be familiar with some of these ETFs as
they are among 2013's best non-leveraged
The four best non-leveraged ETFs in the current quarter are,
in order starting with best returns, the Guggenheim Solar ETF
), the Market Vectors Solar Energy ETF (NYSE:
), the First Trust NASDAQ Clean Edge Green Energy Index Fund
) and the PowerShares WilderHill Clean Energy (NYSE:
The common theme beyond alternative energy is that as of June
18, three of those four ETFs held at least one Elon Musk stock,
Solar City (NASDAQ:
) or Tesla (NASDAQ:
). KWT was the exception.
Four of the remaining top performers are linked by the same
theme as well. That being
rising yields on U.S. Treasurys
. Specifically, these are ETFs that are designed to go up when
Treasury yields do the same. That quartet includes the ProShares
UltraPro Short 20+ Year Treasury (NYSE:
) and the Direxion Daily 20+ Yr Treasury Bear 3X Shares (NYSE:
), which are up an average of 22 percent this quarter.
No surprises among some of the other non-DUST 20. Six are
bearish plays on emerging markets
, including three of the top seven. Inverse plays on three of the
four BRIC nations are included in that group of six. India is the
exception because there is no longer an inverse ETF for that
country. The best bearish emerging markets ETF in the second
quarter has been the double-leveraged ProShares UltraShort MSCI
). Forget its quarterly performance, though. Even with a 3.5
percent drop on Thursday, BZQ is still up 41.5 percent in just
the past month.
For more on ETFs, click
(c) 2013 Benzinga.com. Benzinga does not provide investment
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