Fountainheadinvesting

Fountainhead Investing

  • Objective Analysis: Research On High Quality Companies With Sustainable Moats
  • Tech Focused: 60% Allocated To AI, Semiconductors, Technology

5 Star Tech Analyst Focused On Excellent Companies With Sustainable Moats

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Cybersecurity Semiconductors

Strategic 2024 Investment Opportunities in Cybersecurity, Technology, and Semiconductors

Here are ETFs that mirror the growing Semiconductor, Cybersecurity and Technology sectors, they have 4 to 5 Star ratings from Morningstar and have done exceedingly well this past year – over 40%. Which is a great performance but a drag going forward, because we’re entering at fairly high levels and very little chance of those gains. Nonetheless these have performed in the mid to high teens per year over a five year period and some have over a ten year – basically the underlying stocks are strong so in the long run, as we can see from their consistent performance.

Most Important: Spread your buying out in installments, on declines, anything we’re buying in 2024 is priced above their mean so we want as much of a bargain as possible.

Cybersecurity

CIBR – cybersecurity, mostly large cybersecurity companies, has the biggest names like PANW, CRWD, OKTA, FTNT etc, a good proxy for cyber security, 

HACK – also cybersecurity, some small companies, but it has companies that specialize in military grade products, which is a bit of an advantage.

Technology

VGT – VGT is part of the Vanguard family, very well regarded and has all the biggest names in tech, half of the M-7, several cybersecurity companies, huge returns –  even the 10 year return is like 18%, going forward if big tech performs this fund do very well. But given how well it’s done again don’t expect too much, anything in the 10-12% range per year for the next 5 should be good.

Semiconductor

SOXX – Largest semiconductor ETF also very successful, having Nvidia as a large holding will do that, but there are several semiconductor companies that haven’t done as well, which can be a drag. But that is common for a sector or any mutual fund or ETF, there will be mediocre and weaker companies, but they also tend to be less volatile, it’s not all bad.