Thursday, November 1, 2012

Quant was a happy algorithm last night with the markets open once again. There seems to be something brewing in the technology space.  Vanguard's Information Tech ETF VGT was ranked at #3 before the market closed and is ranked at #12 now.  VGT has about 27% weighting in Apple and Microsoft combined.  Compare this to PowerShares QQQ ETF QQQ, which went from #11 before the closure to #10 this morning.  The QQQs also has 27% combined in Apple and Microsoft.

While the VGT scores slightly better on the Behavioral factors, QQQ is showing better a better Fundamental score.  This goes to show that just because two products are focused on a similar sector, they are not always equal.


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