FYI: An exchange-traded fund, launched earlier this year, uses online chatter about stocks—drawing from social media sites like Twitter and Facebook, but also blogs and comment boards—to compile its roster of portfolio holdings, betting that the aggregate views of thousands can point to outperformance.
The Sprott Buzz Social Media Insights ETF BUZ, +0.12% is premised on the idea that if huge masses of people share their trading activity—not only the names they’re buying and selling, but also the price levels they’re looking out for and other more technical details of their strategies—that data can be mined for measures of sentiment. The firm calls this metric “social momentum,” and it flies in the face of most sentiment measures by taking a non-contrarian view.
Regards,
Ted
http://www.marketwatch.com/story/this-etf-builds-its-portfolio-around-stocks-mentioned-on-social-media-2016-10-27/printM* Snapshot BUZ:
http://www.morningstar.com/etfs/arcx/buz/quote.html
