Energy services can lift your returns

Article Excerpt

Oil and gas prices are up strongly as the U.S. and other economies continue to recover. That has now prompted oil and gas producers to boost exploration to meet rising demand. In fact, demand should remain elevated for several years to come as the world continues to rely on fossil fuels even as it shifts to more-sustainable renewable energy sources. Here are two energy-services ETFs that stand to gain from what should be an expanding drilling market. Their efforts to cut costs and restructure will also pay off. Meanwhile, our Supplement provides more information on the link between energy prices and spending on exploration and drilling. VANECK VECTORS OIL SERVICES ETF $235.33 (New York symbol OIH; TSINetwork ETF Rating: Aggressive; Market cap: $2.15 billion) invests in companies listed in the U.S. that provide services to oil producers and drillers. Their offerings include oil equipment and oil drilling. This ETF holds a portfolio of 25 stocks, with 40% of the assets held in the top three…