Betashares Global Banks is under Algo Engine buy conditions and is a current holding in our ETF model portfolio.
We recently added to the position at $5.85 and the ETF is now trading at $6.25.
Global sector rotation is occurring and money is switching from momentum to value. This could be a repositioning ahead of this week’s ECB meeting and next month’s anticipated Fed Reserve rate cut.
The yield on the global bank ETF is 1.3%. We don’t consider this a core holding and will, therefore, look to take profit on the trade.