markets · · seekingalpha.com
IDMO: This International Momentum ETF Has A Hidden Risk, But It's Still A Buy
Invesco S&P International Developed Momentum ETF maintains a 'buy' rating for long-term investors despite a recent fall from its September highs. A key reason is that IDMO has consistently outperformed SPDW since its March 2016 index change, with higher total and risk-adjusted returns plus lower drawdowns. The ETF's 48% Financials allocation, especially to Canadian banks, presents sector concentration risk but has historically supported strong returns. Portfolio-level EPS growth rates are excellent.
Invesco S&P International Developed Momentum ETF maintains a 'buy' rating for long-term investors despite a recent fall from its September highs. A key reason is that IDMO has consistently outperformed SPDW since its March 2016 index change, with higher total and risk-adjusted returns plus lower drawdowns. The ETF's 48% Financials allocation, especially to Canadian banks, presents sector concentration risk but has historically supported strong returns. Portfolio-level EPS growth rates are excellent.
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