No matter which of Santa’s lists you are on, there is an investment out there for you. These are NOT investment recommendations (you need to talk to your financial adviser for those), but just some amusing ideas for those of you on the Naughty List.
VICE fund (symbol VICEX)
Strategy: Generally, invests in stock of companies that derive a significant portion of their revenues from a group of vice industries that includes the alcoholic beverages, tobacco, gaming and defense/aerospace industries.
10-year average annual return: 5.93% vs. 7.44% for the S&P 500
Fees: No load fund, 1.49% annual expense ratio – higher than average
Spirited Funds ETFMG Whiskey and Spirits ETF (Symbol WSKY)
Strategy: The investment seeks to provide investment results that are similar to the Spirited Funds/ETFMG Whiskey & Spirits Index. Top holdings include Diageo (brands such as Guinness, Ketel, Crown Royal, Johnnie Walker) and Pernod Ricard (Absolut, Jameson, Chivas, Beefeater).
52-week return (this is a newer ETF, so no long term results available): 26% vs. 23% for the S&P 500.
Fees: Whatever your broker charges to trade ETFs plus .6% annual expense ratio
Rydex Leisure Fund (RYLIX)
Strategy: Generally substantially all (at least 80%) of its net assets in stocks of Leisure Companies that are traded in the United States. It may invest to a significant extent in the securities of Leisure Companies that have small to mid-sized capitalizations. It is non-diversified. Top holdings include Comcast, Disney, Philip Morris, McDonalds, and Stabucks.
10-year average annual return: 7.26% vs. 7.44% for the S&P 500
Fees: No sales load to buy, 1.38% annual expense ratio (higher than average)
Tune in next week for investment ideas that appeal to the angel on your shoulder.
Source for above data: www.fidelity.com