r/valueinvesting
New BlackRock Space ETF - iShares Space Technologies UCITS ETF
BlackRock's new Space ETF holds 36% cash, likely for the SpaceX IPO, sparking debate on its risk-reward for space sector exposure.
- Offers diversified exposure to the space sector, reducing single-stock risk.
- High cash position may be strategically reserved for the highly anticipated SpaceX IPO.
- High cash drag (36%) could lead to underperformance if the space sector rallies.
- Concentration risk with Rocket Lab making up 20% of the ETF.
BlackRock created a new ETF for space companies available in some European countries - https://www.ishares.com/uk/individual/en/products/351117/ishares-space-technologies-ucits-etf?switchLocale=y&siteEntryPassthrough=true
Cash holdings are 36%, while Rocketlab is currently 20% of the ETF with more space and drone related companies. ASTS is 2.59%.
Considering the ETFs IPO fast-entry mechanism it seems plausible that most of the remaining cash balance is set aside for the SpaceX IPO.
Do you think this is a good option for investors who want to reduce direct risk but hold some space goodness?
Why is this in Value Investing? How are any of these companies considered value plays? This is nothing but a speculative thematic ETF.
Oh, I see. New Account. Get out of here with this astroturfing.
Yeah fair, should've posted it in the WallStreetBets instead lol
When a Boglehead would say it's a good investment. But, on a more serious note - when actually do some due dilligence like Graham, Dodd, or Buffett. Using evaluation techniques aligned with fundamental analysis and actual accounting ratios and numbers.
Because the other subreddits have standards.
yes, you like to baghold “real value” instead
ah the good old tunnel vision "value" investors who watch the triple digit gains pass them by YoY
Whether gains pass them by or not is besides the point, there's plenty of gambling based subs elsewhere if you prefer
How does it compare to the Jedi Space Innovators ETF?
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Can we buy it in Europe ?