Ask HN: What is your money-making side project outside programming?

Re:Ask HN: What is your money-making side project outside pr... by netman21 on Sunday April 21, 2019 @12:54PM (#19713047)

I am put off by ETF performance thanks to my results last year. I had a SEP IRA for my business with $1,000 in it and a traditional IRA with $6,000. I bought a pharmaceutical ETF with the SEP IRA. After a year it lost about 5%. Meanwhile the trad IRA grew to $10,500 investing in companies I know.

[ Parent | on HN ]

Re:Ask HN: What is your money-making side project outside pr... by pkd on Sunday April 21, 2019 @01:28PM (#19713271)

That's because you bought an industry-specific ETF. So any imbalance in that industry would noticeably affect your holdings in the short period. General advice is to buy diversified ETFs (like the S&P 500 as the OP said) and hold them for long periods of time. It's a very different strategy from buying and selling individual stocks over a short term.

[ Parent | on HN ]

Re:Ask HN: What is your money-making side project outside pr... by astura on Sunday April 21, 2019 @07:46PM (#19715280)

That's a problem with the specific underlying securities you bought, not a problem with ETFs in general. The "classic" ETFs are for well-known indexes, like the S&P 500.

[ Parent | on HN ]