Q: Now that we have had the first reduction in central bank interest rates, do you think there is a good investment opportunity in utilities? Looking mostly for price stability with income and some capital appreciation. Is there an equal weight ETF for utilities?
Thank you for your great service.
Thank you for your great service.
5i Research Answer:
While the rate cut was largely expected, it should still provide some support and improve sentiment towards utilities. ZUT is an equal weight utility ETF that should see some benefit and we would be comfortable buying it.
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in ZWU.