Kanish Chugh
π€ SpeakerAppearances Over Time
Podcast Appearances
You're not buying a single stock.
Something that we firmly believe in at ETF Spheres is don't pick the winner or loser.
Pick the megatrend.
Pick the basket.
That is where you may not get a 1,000% increase in your portfolio holding of ACDC.
Last year alone, it did nearly 60%, 65% returns.
but you're not going to have that volatility.
So what we saw is a number of the stocks that we hold in the portfolio really were hurt during COVID in that February-March drop last year in 2020.
But the actual port, ACDC ETF, was...
Did fairly well comparatively.
The drop is you're essentially protecting yourself on that decline by looking at a diversified basket.
Obviously, you're giving some of that upside performance, that alpha, as you would call it.
So what I would say to those people that say, why don't I just buy Tesla?
Well, there's probably just an element of risk that's involved in buying a single stock and taking maybe an exposure into a diversified basket.
If this is a particular megatrend that you're looking at, well, then the ACDC ETF may suit.
And if you're still wanting to be very bullish on Tesla, for example, you can take an overweight into that by buying the single stock, but it may not be the major part of your portfolio.
And you did actually see that.
So in 2016 to 2017, 18, and 19 as well, there was this big price pressure on lithium.
So there was an oversupply, there was a pressure on the price, and you actually saw a number of lithium miners buying
get to that brink of bankruptcy and some even did close so they just opened up these big mines some in Australia and they had to shut down and had to sell off their sort of mining operations and the mines to competitors what you've seen in 2020 2020 was a bit of a tale of two halves where the first half again that price pressure on lithium especially was there but as you