Is now possibly a good time to buy tech stocks, etf etc. Including Scottish mortgage investment trust. Thanks. Know they have dropped alot. But is there further to go?
Nobody is able to tell you the exact perfect day the buy. The market may drop another 20% from here and stat flat for a year, we dont know. Add positions in small amounts over the next few months, you are buying at better prices here!
If you understand an industry, like "technology", beyond the headlines and media articles, and if you are sufficiently pragmatic with a long view, I believe money can be made by adding sector speculation to an investment strategy. I believe this is most true in the resources space. But, if you have a short time horizon (eg: less than about 3 years) or if you are basing your move on media reports, I think it is most likely you will under perform the market. Consider this. If you out-perform the market using media reports that tech is under-valued, you might out perform the market. You could cash out in two years, feeling smug and knowing you are really smart. One day, when you realize the media are a bunch of clowns, you will realize your gain was more luck than anything. If you under-perform the market using media reports, you will probably have a negative view of market dynamics and be less inclined to expose your money to any sort of market. You might even feel like you aren't a good trader. The thing is, you put your money on a coin toss and lost. Nothing more. Whatever your knowledge base is, that is a good place to start. Perhaps you are a farmer. You know what grain handling companies are well run and which ones are a clown show. That gives you an advantage over the rest of us. If you buy a company you know to be well run, you can forget about the cash and sleep well knowing your share of the partnership will built up over time by a good management team. That is what investing is. There are three companies I am partnered with. They do not know I exist but I am a partner, none the less. I listen to every earning call. I read every news release and every news item regarding these companies. If they started doing things that I feel are bad business, I will sell my partnership. Otherwise, they will be part of my estate.
Consider diversifying your investment portfolio by buying tech stocks ETFs. They offer exposure to the growing tech sector without the risk of individual stock selection. ETFs like QQQ and VGT hold shares in major tech companies, providing potential for significant returns. Always research and consider your risk tolerance before investing. Happy investing!
