In this episode, David will take the next step in our look at thematic ETFs by asking how narrow a thematic fund should be and what that means for investors. After introducing thematic ETFs last week, this week’s section looks at the difference between broad exposure to a long-term trend and more concentrated exposure to one specific part of that trend. From artificial intelligence and defence to clean energy, critical minerals and space technology, thematic ETFs can give investors access to powerful investment ideas, but the construction of the fund can make a big difference to the risks they are taking. What will be covered: What thematic purity means Why two ETFs with similar names can own very different portfolios The trade-off between targeted exposure and diversification How concentration can affect risk and volatility Why investors should look at holdings, weightings and the part of the value chain being targeted This information is only suitable for persons in the UK or EU. QuotedData is a trading name of Marten & Co which is authorised and regulated by the Financial Conduct Authority. QuotedData publishes free, reliable educational resources, research and news on carefully selected sectors and companies, some of which is sponsored. UK investment companies and REITs form the core of our coverage, offering investors a professional investor quality service. In addition, we provide data, including performance charts and statistics, across the full spectrum of pan-European equities. Our team of expert analysts writes with a balanced view and our goal is to provide you with the information you need to make your own investment decisions, or to understand in more detail what your adviser is recommending to you. #quoteddata #etf #investing #strategies #europe #stocks #equity #trading
