How to use ETFs as a pointer to valuation trends!
AccuServe uses domestic, specialty ETFs focused on technology to assess
how these funds performed and arrive at an overarching trend
year-over-year for valuations. 1-year returns of such funds, as of
December 1, 2009, have ranged between -45.3% and 188.96% with a
volume-weighted average of 74.36% return. Clearly, the valuations have
improved significantly. The highly traded technology select sector
SPDR's 1-year return increased by a large 67.44%. This increase has also
translated into improved valuations for private companies.
Steven Loeb