I want to invest in robotics, how can I do it?
I would definitely avoid buying individual robotics stocks, unless you are an investing professional, or you have time to do your research on stocks…
You could invest in mutual funds focused on robotics, however I would be do your research before diving into any…
If you are investing in mutual funds, here are a few things to look out for…
Here are a few I came across
Pichet Robotics Fund
• Assets Under Management: $162m
• US and Japanese companies make up 75% of the fund
• Focused on enabling technologies, industrial automation and consumer application technologies
• Outperformed index in 2015 and 2016 (2015 - fund: 1.63%, index: .90%. 2016 - fund: 12.7%, index: 7.51%)
• Total expense ratio: 1.19%
Comment: reasonable price, but could be cheaper. The fund failed to outperform the index in 2015 when fees were included.
Liontrust UK Smaller Companies
If you wanted something more diversified and safer, you could try the Liontrust Smaller Companies Fund.
The fund invests 40% of its funds in UK tech companies.
• It has delivered 15% p/a since 2008
• Assets Under Management: £800m
• 65 Holdings
The last option is to invest in super star investors Polar Capital.
PC’s tech fund has comfortably outperformed the S&P since its foundation in the early 2000s.
This new robotics fund aims to do the same. The only issue with their offering is the price - 1.3% p/a and a 10% performance fee
• It will invest in industrial automation, artificial intelligence, robotics and materials science.
• It will invest a higher proportion in industrial stocks and a lower weighting in the US.
There are also expenses on the purchases of shares which need to be accounted. In total, the fund is probably 1.8% p/a in costs.