U.S. Traded Companies With Over 50% of Sales Derived From Abroad

By James Picerno: Vanguard will soon be launching its first foreign-bond funds, although the roll-out date has been delayed, the firm reports. The proposed set of ETFs and index mutual funds will target a broad definition of foreign bonds as well as products for emerging markets.

By Tom Lydon: Standard & Poor’s downgrading its triple-A rating on U.S. government debt may cause more individual investors to consider international exchange traded funds to diversify their portfolios. ETFs have made it much easier for U.S.-based investors to get exposure to foreign markets. These ETFs hold international stocks and trade in the U.S. while the underlying markets are closed.

Gary Townsend submits:This morning. Equity markets are in a confirmed uptrend. Major indexes largely reversed Tuesday’s losses, closing higher on lower volume. Recent distribution days number four (on September 21st, 30th, October 15th and 19th) two for the DJI and NASDAQ, three for the SPX, and four for the NYSE composite. December SPX futures are up +7.23 points after fair value adjustment.

Ed. Note: This post is part of the Spotlight on Commerce series, which highlights members of the Department of Commerce who are contributing to the president's vision of winning the future through their work. Suresh Kumar is the Assistant Secretary for Trade Promotion and Director General for the U.S. and Foreign Commercial Service. Asian Pacific American Month gives you time to reflect on your origin, your country of birth and learning through and across cultures.  It is conveying these assets, experiences and skills that build a better community and a better country.   At the U.S. Commercial Service, improving opportunities for American businesses domestically and abroad is what drives me.  It is why I'm behind President Obama's plan to win the future. To do so, we must out-innovate, out-educate and connect U.S. businesses to the 95% of consumers who live outside the U.S.  This is my key responsibility:  connecting U.S. businesses to global opportunities.  This lays the foundation for a strong, sustainable economy in the United States and beyond. I am privileged to lead a service with almost 1500 trade professionals who assist American enterprises everyday to connect to global partners and to new markets.  Of the U.S.'s 30 million companies, only 1% or 280,000 companies export and of those who do, 58% export to only one market.  We can and we must do better, and it is this challenge and opportunity that the US&FCS trade specialists and I focus on each day.   This country needs more exporters and potential entrepreneurs and exporters amongst you do not have to go it alone - you have the full support of the U.S. Government in connecting you to global partners and global markets.

MyPlanIQ submits: Emerging market bonds have become a large part of many investors' portfolios in recent years. This can be attributed to an increase in the credit quality of the bonds of foreign countries and companies. These bonds generally offer higher yields than Treasury bonds and domestic corporate bonds. ETFs that track this market allow investors to diversify across many international regions and across countries of various sizes and economic strengths.

ETF Daily News submits:Today, Lion Fund Management Co. becomes the first company in China to create a fund allowed to invest in foreign exchange-traded funds (ETFs) backed by gold. Lion Fund Management Co was founded in 2003 and is based in Shenzhen, China. The firm manages mutual funds for its clients and also invests in public equity and fixed income markets.

Tom Lydon submits: Well, the markets and ETFs have a hit a little turbulence, and risk-averse investors are responding by ditching them altogether. After a deep cutting recession and weeks of volatile trading, the investor mindset may have been drastically changed.

Michael Johnston submits:The past few months have seen a number of interesting developments in the active ETF space. A number of major players in the mutual fund game have laid the groundwork for a foray into the ETF world, a development that could lead to a flood of interest (and cash) in active funds.