Funds for a Falling Apple

From Focus on Funds
December 24, 2012 - 10:05am

In a note yesterday, Cumberland Advisor's David Kotok explains that the S&P 500-stock index (SPY) has gained just 0.6% from election day through Dec. 21--a fact that has many pundits blaming the fiscal cliff. Not Kotok--he blames Apple (AAPL). Getty Images Why Apple? Kotok looked at a bunch of exchange-traded funds that track different versions of the S&P 500--with much less exposure than the market-cap-weighted version's 3.8% share of the portfolio--and finds that nearly all of them have outperformed. The Guggenheim S&P 500 Pure Value ETF (RPV), for instance, has gained about 4% during the post-election period, Kotok says, while the RevenueShares Large Cap ETF (RWL), which weights stocks by sales instead of size, has gained 1.4%. The Guggenheim S&P 500 Equal Weight ETF (RSP), which does exactly what its name says it will, has gained 2.1%. Each holds a much smaller stake in Apple. Of ...


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