Power of ETFs

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    Are you an investor that only focuses on buying individual stocks?  If so, I am here to tell you that you must discover the power of ETF's.  Yes, I do say must.  An ETF is an exchange-traded fund that tracks an index or a basket of stocks.  

     

    A list of ETF's can be found through a Google search.  I use the link, http://www.direxioninvestments.com/etfs?gclid=CjwKEAjwqJ67BRCzzJ7Hy-LYlFYSJABwp9PGrjVFHAyZ76mlUDWXGrLsjZqpvcvwGZtGbcWwuWe-4RoCukfw_wcB

     

    I only tend to focus on triple ETF's.  And so, when I see that a certain sector has been crushed and the charts tell me that it's at its long-term lowest point, I buy the triple ETF's hand-over-fist.  This is a much more effective strategy than selecting individual stocks.  For example, as you may know, the gold miners were slammed big-time as of late and if you had purchased NUGT (a triple ETF) on July 27th, 2015 at around $32/share, you would have realized a massive gain as it now stands at about $145/share almost one year later.  It's tough to realize gains such as these if you only focus on individual stocks.  

     

    So, next time you find that a sector or industry has been battered, pull up the list of ETF's and make a play on it.  You'll find that it's less risky than picking individual stocks.   I hope this investment advice serves you well.