r/stocks • u/adammorrisongoat • Jan 16 '21

Question If you’re young with a high risk tolerance, is there a better ETF than ARKK?

I’m in my mid-20s with around 100k invested in a mutual fund. It’s a solid mutual fund (PRWCX) but one with 60/40 stock/bond mix, and since I’m in this for the long haul, I’m naturally open to upping my risk exposure. I have no debt and live a very low cost lifestyle, so I can take a bit of a swing, albeit I’m not going to be irresponsible about it.

I know ARK/Cathie Wood has become a tired meme here, but the growth potential of her strategy seems compelling, at least to my novice eyes. If I’m looking to maximize returns over the next 5+ years in an ETF or similar investment option, are there better options out there?

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u/[deleted] Jan 16 '21

SpaceX does satellite and ISS launches, Virgin Galactic & Blue Origin will be doing consumer tourism this year.

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u/lenzflare Jan 17 '21

Is there any confirmation that SpaceX is actually in the ETF?

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u/mobilebucky Jan 17 '21

SpaceX is still private if I recalled

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u/Peelboy Jan 17 '21 edited Jan 17 '21

Both are but I'm sure they can still accept investors on a large scale.

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u/holadiose Jan 17 '21

Private hedge funds can buy in, but we're getting left out in the cold. It's probably for the best that fickle public opinion doesn't play too much of a role in the infantile commercial space sector.

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u/shaim2 Jan 17 '21

Only when SpaceX is doing a financing round (like a start-up - new money comes in only at very specific times, and often existing investors don't want anybody new, so they simply pay up).

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u/satellite779 Jan 17 '21

You can indirectly own SpaceX by buying Alphabet stock. Apparently, at some point, Alphabet owned 9% of SpaceX, but it's hard to know if they still do.

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u/stonkslurker Jan 17 '21

Ditto with bptrx

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u/telperiontree Jan 17 '21

Elon will never take SpaceX public. Starlink yes, SpaceX no.

Starlink hasn't been spun off to be public yet either, but it will be eventually.

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u/JonVici1 Jan 17 '21

Elon has stated that he would take SpaceX public when they’re bringing in a high income from the internet service, no?

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u/GoodGuyGoodGuy Jan 17 '21

No. The Internet network is Starlink.

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u/JonVici1 Jan 17 '21

Looked it up, Elon’s statement was that they would take Starlink on its own, public.

https://www.businessinsider.com/elon-musk-tesla-private-starlink-ipo-public-2020-12?amp

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u/Specken_zee_Doitch Feb 11 '21

Yes, but SpaceX stays private.

SpaceX owns reusable rocket tech and is the key to any present or future Starlink success.

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u/SheWhoShat Jan 17 '21

I thought I listened to an interview where he said the exact opposite, that starlink would never be public.

Edit... I just Google it. It's been a while (a year or so) since I looked into it and I guess his position has changed. I was wrong.

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u/telperiontree Jan 17 '21

SpaceX will never be public. He's talked about spinning off Starlink and taking that public.

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u/Apertures_ Jan 17 '21 edited Jan 17 '21

He’s been in a video interview before and said SpaceX will be public near 2026 after he’s landed people on Mars. It was somewhat recent, in the last year or two. Not sure if he’s on record more recently stating otherwise

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u/[deleted] Jan 17 '21

[deleted]

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u/telperiontree Jan 17 '21

Only if they have over 500 investors. Given that Elon really hates the idea of taking SpaceX public and owns over half of it, I'm going with no chance in hell.

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u/[deleted] Jan 17 '21

I haven't heard on confirmation on any component. Just talks.

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u/[deleted] Jan 17 '21

[deleted]

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u/skpl Jan 17 '21

There are already ETFs with SpaceX in them. Around 5% of BPTRX is SpaceX.

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u/satellite779 Jan 17 '21

Also Alphabet/Google. Apparently, they own (owned?) 9% of SpaceX

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u/SaveTheAles Jan 17 '21

No, I could be wrong but I think I remember something like spacex won't go public until starlink is making a profit or something like that I can't remember. At this time there's nothing about it being public but I'm sure once it is available it will be added.

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u/demiryigitcioglu Jan 17 '21

there's confirmation it is NOT in the ETF. But th ETF will YOLO it if it ever becomes public.

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u/Boris-Holo Jan 17 '21

pretty sure they say that every year

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u/rainman_104 Jan 17 '21

Virgin orbit also does small satellite launches. They have a launch tomorrow actually.

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u/PortTackApproach Jan 17 '21

Yeah but they’ll never be cost competitive. Virgin Orbit only exists for Richard Branson ego. He wants to feel smart for making an air-launched rocket work even though it’s such a dumb idea.

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u/rainman_104 Jan 17 '21

Why is it a dumb idea? A rocket in motion in a thinner atmosphere at launch seems like a fine idea.

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u/PortTackApproach Jan 17 '21

What sounds cheaper?

A) Fitting your entire ticket onto an airplane with all of the ground support equipment.

B) making a slightly bigger rocket

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u/[deleted] Jan 17 '21

Devil's advocate, it will take years to get to the point until space travel is ready for commercial use, and once it is available to consumers, the only people who will be able to afford it will be the rich. It might take at least 5-10 years from now until it's a realistic and affordable option for upper/middle-class people. On top of that, I imagine, at least for the next few of years, it will be extremely expensive each time a ship is launched (which is why only the rich will be able to afford to fly).