Post #2770 by elann on the Mechanical Investing board

Investment Strategies / Mechanical Investing ❤

Unthreaded | Threaded | Whole Thread (16)

Post New | Post Reply | Report Post | Recommend It!

No. of Recommendations: 5

Without a doubt, QQQ has beat QQQE for a while, the last 8 or so years--and by a lot. I just don't think that observation has any predictive power, as it's really a wager on a statistically insignificant number of specific firms and their idiosyncratic futures. I think of the returns of QQQ as the returns of QQQE which has some statistical breadth to it, plus or minus a big random number.

I think the choice between QQQ and QQQE is a market timing bet. IN strong bull markets QQQ will be far ahead, particularly when the bullishness is concentrated in tech companies which it has been for at least 30 years and counting. When there's a bear market or a bubble popping, QQQE will be ahead. I don't think it's random at all.

Elan

Post New | Post Reply | Report Post | Recommend It!

Print the post

Unthreaded | Threaded | Whole Thread (16)

Prev | Next

Announcements

Mechanical Investing FAQ

Contact Shrewd'm
Contact the developer of these message boards.

A community forum supporting civilized, and highly helpful, self-educating investors that come together for Shrewdness and merry spirits. These message boards closely follow the look and feel of the old message boards at boards.fool.com prior to the boards redirected to discussion.fool.com. Shrewd'm is not affiliated with the comprehensive and excellent investment website, The Motley Fool (TMF), in any way. The Shrewd commmunity here has owed, and continues to owe, gratitude to The Motley Fool for nurturing a culture of jovial irreverence towards Wall St, and that tradition will continue here.