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  #1  
Old 09-06-2007, 11:38 PM
Maurader1 Maurader1 is offline
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Default Index

I'm looking at investinging some broad indexes, but they all seem to be cap weighted, and if i combine a domestic + international index, I'd be overweighted in the financial/energy sectors..is there any way to work around this?
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  #2  
Old 09-07-2007, 12:11 AM
kimchi kimchi is offline
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Default Re: Index

If you want to be over/underweight in certain sectors, then maybe indexing isn't for you.

You could buy an index fund as a core holding and purchase some smaller satellite sector funds such as tech/health/retail/utilities or whatever, which will dilute the energy/financial holdings in your index fund.

Alternatively, you could hedge against the sectors you dislike by shorting some sector ETFs

If you have a market opinion, then maybe indexing won't meet all your objectives.
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  #3  
Old 09-07-2007, 05:13 PM
gull gull is offline
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Default Re: Index

There are some fundamentally weighted funds out there. WisdomTree has some foreign dividend-weighted funds (note that dividends are the weakest value indicator). Rydex has some fundamentally weighted funds too.
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