How Record Corn Prices Are Impacting Food-Related ETFs
By Tom Lydon:
PowerShares Dynamic Food and Beverage Portfolio (PBJ) gives investors low-risk exposure to restaurant stocks and even has a small dividend yield. As the retail restaurant group has picked up momentum, investors can play on this demand.
"High unemployment and relatively high gas prices have had a negative impact on disposable income," Darren Tristano, executive VP at Technomic said. Fast-casual "has been successful in taking share from the other segments."
The so-called fast casual category of eateries has seen an 8% rise in retail sales in 2012. Eateries such as Chipotle, and Panera Bread have led the industry's rebound over the past few years. Lower and middle income consumers are attracted to an affordable, higher quality eating experience, compared with that of fast food, reports Anna Louis Jackson for Bloomberg BusinessWeek.
The retail restaurant group is up 13% so far in 2012, compared to the S&P 500, which has gained 7.5%,Complete Story »
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