Hoping this is the most appropriate area, I ask to all the professionals here: What are your thoughts on someone who is able to only trade UCITS ETFs, OEICs and spot currencies? Would you consider it a fruitless endeavour? Would you think/say that there's not much leeway for growth using these instruments? I guess forex should be fine. So I'm interested in opinions about UCITS ETFs and the rest... Why just these 3 instruments, you ask? Because of company policies: no single name securities whatsoever. Can't touch them at all. And everything else (i.e. derivatives based on whatever, or non-ucits ETFs), would have to go through compliance approval. Think of the questions above in the context of automated trading. And no, the compliance software does not expose an API I could send a request to. It would have to be a manual process. Also assume this is not something that falls in the HFT domain, nor day trading, I guess (I tend to hold positions for weeks, so far). Thanks all in advance
%% ACTUALLY, ''no single name securities'' may be a blessing in disguise 97- 99% of the time. EVEN more so= while learning to trade\invest/ those are much more of a roller coaster. SO even in USa, most of the best + brightest cant even beat a good benchmark like SPY; + those do /seldom do it for 10years. A roller caster isn't an exact comparison\ so many single stocks went to zero\nothing
I assume you are asking from a viewpoint of an investor? I would only be interested in track record. If you offer a different product as other market participants, it is only a plus point, as you can claim diversification benefits... If I misunderstood the question, I apologize
%% LOL+i'm making sure to do plenty of walking; sometimes like elephant steps . And sometimes baby steps. Like the guy that wrote Baby Steps Millionaires ; i thought he was against single stocks. He always did say sell them anytime some asked him or even mentioned single stocks/LOL. In early 2023 he did disclose he was not really against them , just limit them to 10%\ since average trader\ investor averages 7.5%, single stocks. SPY [S+P 500 benchmark] averages 12%. STRANGELY early2023 maybe exceptional for some stocks\ but FEB tends to do no so well\US stock market. Did ok with Barclays Bank ADR; just could have easily lost money in Barings BankLOL. Compliance DEPT maybe helpful..............................
I'm not sure whether a difference between trading and investing is being made here. Probably yes. I'm asking from the point of view of someone who would go long/short an ETF of the UCITS kind because of the restrictions currently imposed on me by company policy.