Global technology found.Am I too late?

Surely a gobal tech tracker is the safest out of all tech investments? I favour the legal and general one. Ultimately the word needs tech so I don't see why it would be high risk. Computer software is used for almost every business and if there is another tech crash it will eventually recover.

coastline wrote: »

I've looked at that myself and if you'd bought the Nasdaq 100 tracker there's no difference in performance over 5 years.
In the link below add the Index Nasdaq 100 and the Ishares tracker CNX1.
Regarding a crash you can see it happened over a few years and not overnight.

http://www.hl.co.uk/funds/fund-discounts,-prices--and--factsheets/search-results/f/fidelity-global-technology-a-gbp-income-inclusive/charts

https://upload.wikimedia.org/wikipedia/commons/f/f3/NASDAQ-100-1985to2015.svg

Sure but what is your point re buying? Are you saying it's a high risk sector through and through.

coastline wrote: »

As posted earlier a 5% allocation is probably enough in the sector.
All down to yourself really regarding volatility but it was possible to sell in the last downturn as it didn't collapse overnight.

Do you mean 5% of an entire portfolio or that 5% of your porfolio would be a tech fund? For example, the VLS 100 portfolio is 15% tech overall.

economic wrote: »

Tech has had and it looks like it will continue to have strong earnings. Tech now is VERY different to tech in 2000. Companies are actually generating profits this time and they are growing profits a lot too.

Also there are different types of tech companies. Amazon is very different to apple which is very different to google. Something like amazon isn't even regarded as "tech" - its a consumer cyclical stock which makes sense as it generates by far most of its revenues through ecommerce.

I agree with you about Amazon not being a technology company, and would argue that the same could apply to Google and Facebook which as far as their profitable business goes major in selling advertising space.

Is there any reason why an investor should buy funds that have large holdings in these companies in order to benefit from the supposed AI and block chain revolutions? Perhaps there should be a separate sector for companies that do almost all of their business online as they are very different to those that focus on the development of technology.

dunstonh wrote: »

Plus, people picking VLS100 are not the type that would pick a tech fund. It is an illogical pairing and would suggest a confused investor.

Do you mean that few investors would want to combine a low-volatility investment with a rather high-volatility one? Because that pairing would make a lot of sense to me, and I like to think that I know what I am doing: a core-satellite approach, choosing a core to provide reasonable safety and a number of different satellites to provide the possibility of high returns (and equally the chance of substantial losses). Or have I got it wrong somewhere?