I'm thinking of buying into an EFT for the tech sector. I came across couple of them .... IGM & IYW (iShares EFTs). I would love to hear from members on their picks from different efts in this sector. Thanks in advance.
I think you'll find that all of these ETFs basically perform the same, or worse, than the broad NASDAQ index. There are a zillion ETFs that are basically a duplication of QQQ.
I would find whatever the lowest MER version of QQQ is, and use that.
Personally I don't invest in the tech sector since I work in technology ("I am already a stock") and don't see the advantage on further tying my personal fortunes to the performance of the tech sector. If there's a tech slowdown/crash I'm already going to suffer in employment, and the last thing I want is to doubly suffer in my investments.
Research ETF holdings before you buy. XLK, for example, is dominated by technology mega-caps. Apple, Google, Microsoft, IBM, etc. If you want to bet on smaller and faster growing companies, pick a different ETF.
Personally I don't invest in sector ETFs, be it technology or any other sector. I buy the whole market.
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