buying ETFs with slight difference

[redname]

is it dumb to buy into another ETF that has around 80% of the companies that are already in an ETF that you are already investing in?

 

[wutawa]

I have cspx and spyl. Both r s&p500. I buy spyl using stocks div because the price is lower and my broker doesn't support fractional for cspx.

 

[redname]

I have cspx and spyl. Both r s&p500. I buy spyl using stocks div because the price is lower and my broker doesn't support fractional for cspx.

thanks cause everywhere i read talking abt diversify if wanna do long term, so thought 80% might not be a lot of difference for diversify

 

[alanchia67]

I have both Amundi Prime USA - AS (C) and Amundi Index MSCI World - A12S (C). I believe there are about 75-80% similarity

 

[redname]

I have both Amundi Prime USA - AS (C) and Amundi Index MSCI World - A12S (C). I believe there are about 75-80% similarity

are you a bassist?

 

[alanchia67]

are you a bassist?

Yup, I am.

 

[redname]

Yup, I am.

long live all bassist

 

[wutawa]

thanks cause everywhere i read talking abt diversify if wanna do long term, so thought 80% might not be a lot of difference for diversify

Buying similar etfs can be due to other reasons but definitely not for diversity.

 

[reddevil0728]

is it dumb to buy into another ETF that has around 80% of the companies that are already in an ETF that you are already investing in?

thanks cause everywhere i read talking abt diversify if wanna do long term, so thought 80% might not be a lot of difference for diversify

Depends on what you trying to do?

 

[redname]

Depends on what you trying to do?

the other ETF has more focus on big players in AI industry, the one i'm in already has more industries involved

 

[reddevil0728]

the other ETF has more focus on big players in AI industry, the one i'm in already has more industries involved

why don't you name the ETFs?

 

[redname]

why don't you name the ETFs?

AI focused: CHAT

already buying: VWRA

 

[reddevil0728]

AI focused: CHAT

already buying: VWRA

eh VWRA is as diversified as it gets.

so basically what you are looking at is overweight those companies that these 2 ETFs overlap. i.e., you are bullish on the 2.

if that's your objective, year why not? though there might be better ways around that.

 

[redname]

eh VWRA is as diversified as it gets.

so basically what you are looking at is overweight those companies that these 2 ETFs overlap. i.e., you are bullish on the 2.

if that's your objective, year why not? though there might be better ways around that.

better ways? as in buy individual stock?

 

[reddevil0728]

better ways? as in buy individual stock?

Like more targeted if that’s your objective?

so depends on what exactly do you want to do?

 

[redname]

Like more targeted if that’s your objective?

so depends on what exactly do you want to do?

got what u saying

so actually buying into CHAT might be what i need as i wanna ride on the AI wave but dnt want to go watch individually

 

[reddevil0728]

got what u saying

so actually buying into CHAT might be what i need as i wanna ride on the AI wave but dnt want to go watch individually

But why CHAT for AI etf and not other options?

 

[redname]

But why CHAT for AI etf and not other options?

it contains almost all the big names that i'm looking at and even has TENCENT too

 

[reddevil0728]

it contains almost all the big names that i'm looking at and even has TENCENT too

Ah right if this etf has what you want as part of their top holdings then ok lor

 

[highsulphur]

I have isac, iwda and vwra which are all similar.