With investors concerned about those issues, many have fled from banking stocks. The SPDR S&P Bank ETF (NYSEMKT: KBE) is down 10% year to date. But if effective COVID-19 vaccines quickly ease the economic pain around the globe, then the banking sector’s performance in late 2021 and 2022 will probably exceed forecasts. Fewer businesses will shut down, more people will remain employed, and fewer will default on mortgages, business loans, and credit card debt.
KBE is a large, diversified, reputable, and liquid ETF with a reasonable expense ratio that distributes cash to shareholders every quarter. It’s a great vehicle for exposure to the banking industry, which is set to move in sync with the fortunes of the wider economy.
10 stocks we like better than U.S. Global Jets ETF
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
David and Tom just revealed what they believe are the ten best stocks for investors to buy right now… and U.S. Global Jets ETF wasn’t one of them! That’s right — they think these 10 stocks are even better buys.