We highlight a bunch of the best-performing leveraged equity ETFs of February.
U.S. stock indices closed last week on a solid note as investors reacted to a favorable inflation report.
CWEB is a leveraged ETF focused on Chinese internet stocks, which act as proxies for China's mass consumption sector, including e-commerce and mobile gaming companies. Persistent deflation and weak consumption in China have led to low valuations for these stocks, despite robust EBITDA growth and share buyback programs. The Chinese government is shifting towards aggressive fiscal and monetary policies to combat deflation, which should stabilize consumption and re-rate these stocks.
China's economy continues its recovery, albeit unevenly. It is trying to put behind the after-effects of a real estate development crisis that hit the country a few years ago.