Claymore/Beacon Spin-Off ETF (AMEX:CSD)

notzia (71.09) Submitted: 10/16/2010 10:51:45 PM : Start Price: $21.25 CSD Score: +9.41

As an added diversification measure, I had been looking for a way to play spinoffs. Rather than finding, evaluating and investing in seperate stocks, I found the Claymore/Beacon Spin-Off ETF (CSD).

CSD Tracks the Beacon Spin-Off Index, a benchmark constructed from a broad universe of US-traded stocks, ADRs, and master limited partnerships (MLPs). Companies eligible for inclusion include those that have been spun-off within the past two years (but with some temporary rebalancing exceptions). There are no limits on market capitalization, but the choices tend to be primarily small- and mid-cap companies with capitalizations under $10.0 billion.

The fund has returned 39% over the past year, but hasn't performed as well over other time frames.

TMFDeej (99.37) Submitted: 6/11/2010 3:50:07 PM : Start Price: $19.20 CSD Score: +12.13

How can I not play around in CAPS with an ETF that only buys companies that have been spun-off? I love special situations like that.

Deej

TheGarcipian (88.74) Submitted: 7/11/2007 1:18:57 AM : Start Price: $29.12 CSD Score: -3.50

An interesting idea: an ETF to track the spin-offs of parent companies. I've found that IPOs usually lose me money, so I avoid them like Jim Cramer's breath. But this ETF ranks the recent offspring semi-annually according to a most-likely-to-succeed ratio and puts more weighting on those puppies, rather than a general glossy finish on all subjugates. The result (hopefully) is that the Winners will win by a bigger percentage than by which the Losers lose. Marginal thumbs up. Thanks to Hodarius for pointing this one out to me.

jteiber (87.71) Submitted: 5/30/2007 2:05:54 PM : Start Price: $28.41 CSD Score: -0.83

Spin-off strategy is genius, spin-offs will outperform the market from 6mo - 2 years on average, A) because they can focus on their product B) the stock price is tied to the company which means management will work harder for that big paycheck