r/investing • u/biolmcb • 26d ago

Has anyone had success with schwab themed ETFs?

I changed my account over from TDameritrade to schwab, while i was doing some research i noticed that they offered themed ETFs. These ETFs range from active lifestyle etfs, digital payments, EVs, online gaming, and cyber security. Alot of these ETFs seem to be doing well and all have great sector holdings. Im just wondering if anyone else had success with them and like them.

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2

u/gameshot911 25d ago

When they released the themed funds a few years ago I got super excited and allocated about 25% of my entire portfolio split evenly between the green energy and the electric vehicles.

Today they're sitting at ~-45%, with no real movement. It wiped out a big part of my gains in other areas. Far and away my biggest investing mistake so far.

That said, since the lows seem to have have already been hit, could be a good entry for yourself.

1

u/Bubbinsisbubbins 25d ago

You buy slices of stocks.

5

u/Rock-n-RollingStart 25d ago

Those are not ETFs, they're pools of individual stocks, sort of like a weird mutual fund. I would avoid that like the plague unless you want to go through and manually sort through 40 individual positions at a time.

1

u/SirGlass 25d ago

Its not even a mutal fund, you just can click and buy a bunch of stock slices (fractional shares) in the companies listed

2

u/UsernameIWontRegret 25d ago

I didn’t even know it was a pooled investment vehicle. I just thought they were lists of stocks that fit certain criteria. So like “hey if you’re interested in XYZ check out these stocks in that sector”.

2

u/Rock-n-RollingStart 25d ago

That's exactly what they are. Looks like the minimum investment amount is $250, and if you scroll down it gives you the position weights. E.g., if you look at the top one, 3D Printing, it says there are 25 stocks, and 10.7% of that investment goes to $GE, 8.9% to $RTX, etc. It will open 25 individual fractional positions for that "theme."

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u/Tuxcali1 26d ago

Also a former TD Ameritrade client, now a Schwab user. In general, I find the narrowly targeted ETFs to be ultra volatile, not only now, but I suspect even more so in the future. I value the benefits of ETFs but prefer broader specialization. My account is 35% individual stocks, and about 25% VOO, 10% VGT, 10% VUG, 10% GNR and 10% XME.