Tag: ETFs

Why I like ETFs

I have been an active stock picker since 2008-9 and this is the first year I have got my hands-on ETFs

So what are ETFs?

An exchange-traded fund (ETF) is a type of security that involves a collection of securities—such as stocks—that often tracks an underlying index

Lars Krojier has written an excellent book (Investing Demystified) on ETFs and you can get a good summary from this video series, I encourage you to spend 30 mins to go through them.

Like always I like a theory but I wanted to see numbers and once numbers stacked in favor of ETFs I got sold and started adding them to my portfolio.

How did I do the numbers?

I compared returns from Jan-2018 to Jul-2020 on a momentum portfolio, large indexes and active stock decisions I took between those dates

Why Jan-2018 as a starting date?

In Jan-2018 I had subscribed to a very well respected momentum service for their sake it will remain unnamed

What were results

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