How To Analyze ETFs With Bloomberg: Trading ETFs
  1. How To Analyze ETFs With Bloomberg: Introduction
  2. How To Analyze ETFs With Bloomberg: Navigating The ETF Universe
  3. How To Analyze ETFs With Bloomberg: Comparing ETFs
  4. How To Analyze ETFs With Bloomberg: Trading ETFs

How To Analyze ETFs With Bloomberg: Trading ETFs

While many individual investors may not trade ETFs directly over Bloomberg, the system can still aid the trading and portfolio management process. For example, an investor interested in trading the S&P 500, might choose to use an ETF as their vehicle for expressing their views. That same investor might want to take advantage of Bloomberg's robust technical analysis capabilities prior to determining buy and sell levels. While a full discussion of technical analysis is beyond the scope of this article, some useful functions include: <GP> for viewing a simple price chart, <IGPV> for looking at intraday price and volume, <BOLL> for analyzing Bollinger Bands® and <RSI> for looking at relative strength indicators. Once you have bought or sold an ETF, Bloomberg can be used to monitor your portfolio and evaluate your performance. Since ETFs track underlying markets and sectors, you can use the Bloomberg terminal to monitor the performance of various markets. For instance, by typing <WEI> into the Bloomberg you can access a screen that displays the performance of global equity markets. The screen also allows you to dive deeper, so that if, for instance, you are interested in trading an ETF that tracks the Taiwan stock market, you can view the performance of the Taiwanese market by clicking on submenu three of the <WEI> screen to see the performance of additional Asian equity markets.

Figure 3 - <WEI> screen submenu three

You can also manage a portfolio of ETFs on Bloomberg by typing <PORT>. These functions allow you to input the securities in your portfolio, as well as the quantity that you own and the price paid. The system will then continually update market prices, allowing you to track your P&L.

Bloomberg provides a wealth of tools for evaluating, comparing, trading and monitoring ETFs. This article has only touched the surface of the tools available. However, the functions discussed in this article should provide a good starting point for "hands-on" learning on the terminal.

  1. How To Analyze ETFs With Bloomberg: Introduction
  2. How To Analyze ETFs With Bloomberg: Navigating The ETF Universe
  3. How To Analyze ETFs With Bloomberg: Comparing ETFs
  4. How To Analyze ETFs With Bloomberg: Trading ETFs
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