Thats a good idea. Portfolio of your own verified consumer sentiments.
Quick check: iPhone 1 was $500 at launch. Apple shares were $5, apple stocks 41x'd since. If you bought the same amount in shares you'd have $20k, not bad.
Quick check: iPhone 1 was $500 at launch. Apple shares were $5, apple stocks 41x'd since. If you bought the same amount in shares you'd have $20k, not bad.
Of course I subsequently sold when I felt Apple had jumped the shark (I think they were making iPods in multiple colors, something like that). Around 2012 probably.
The lesson for me: I don't know enough of the industries to base any financial decision on it.
3D cards, web, smartphones, search, social media, CPU advances, chip manufacturing and shortages, blockchains, AI, the list is endless I suppose. Like most here, I've read about them all from the early demos all the way to the mass adoption.
I'm very happy to invest in index funds and observe tech only from the tech point of view, without stressing about picking the winners.
My 2007 GE kitchen appliances for my new home funded with a WaMu mortgage may are similarly unimpressive as investments in 2024.
(And cherrypicking history is easy!)
And your mortgage probably makes you wildly over/under (but not correct) weight on residential real estate according to whether you consider it a payment you need to reflect in your portfolio or a part of your portfolio and therefore it's mising a justifying expenditure.
And you'd presumably have no exposure to industrial real estate, defense, anything b2b, ...
But it's a fun idea and I'll admit to similar irrational thinking when I was annoyed by Amex charging (and refusing to refund) me and my wife separately while I was in the middle of trying to talk to them about merging them/closing one. (Which reminds me, must do that soon before it happens again..)
Nobody bought a iPhone because they thought it would appreciate in value.
The trick is to identify products which will be considered iconic, while they're still on the market. This is crystal-ball-gazing, and that kind of game isn't for everyone, but it only takes one smash hit to make a profit on the total investment. There are certainly people who do this as a hobby / side hustle.
You can absolutely guarantee everyone isn’t going to follow that rule so why bother considering it? Also, nothing says you need to keep investments forever, a rolling fund where after X months you sell the stocks and repurchase based on current spending habits could work just fine at scale.
The price of other stocks would plummet from low demand
Demand is ideally a function of fundamentals.
The stock price being overvalued is irrelevant if “everyone” is buying it. This is a hyperbolic example but it plays out in the valuation of the sp500 when legions of folks just dump into an index fund.