Full transcript
0:00[01:00:00:04 - 01:00:20:03] I often hear people say that they have the
0:02worst luck possible when it comes to investing. You finally decide to buy a stock and the next day
0:06it crashes. Or you sell something that you've been holding onto for years and the next week
0:11it skyrockets. And that feeling is why I get the same question over and over. Is today a bad day to
0:18invest in when the market is this high? [01:00:20:03 - 01:04:58:14]
0:20Imagine that you had the worst timing of any investor alive, where every single time that
0:25you put money into the S&P 500, you managed to do it on the exact day that it topped out.
0:30And that was right before it crashed. And then from there you did nothing about it. You never
0:35sold. You just held on. You bought in October of 2007, right before the worst crash since the Great
0:41Depression. Also the exact same time that I bought my first house. Not a great time. And from there,
0:48you watched as 55% of your money just completely disappeared. Even then, you're only 1.8% a year,
0:55which is better than the market's own long-term average. And when you look at the rest of them
1:00up here on the screen, every single one of them says the same thing. They all wound up with a
1:05decent return over time. The reality is, some of those were negative for years before they finally
1:11turned a profit. So the timing really isn't the hard part. Leaving it alone is the hard part.
1:18Because with ETFs, somebody else runs it for you. Somebody else rebalances when it drifts.
1:23And you can genuinely just set it and forget it. And of course, I need to state up front
1:28that I'm not a financial advisor and I do this for educational purposes. Now right out of the gate,
1:34not all ETFs are the same. Some of them are built to be left alone for 40 years. And others happen
1:40to be cyclical or more violent with their ups and their downs. So today, I'm going to walk through
1:45the five high-growth ETFs that I would actually recommend But not only am I covering the ETFs for
1:52growth, I'm also going to explain which account I would prefer to hold each one in. Like a taxable
1:59account. Or an IRA, which is tax-advantaged. And before anybody heads down to the comments,
2:05there are going to be a couple of funds on this list that you possibly don't agree with. And
2:09there's probably one that you expected to see that isn't there at all. And the reason has nothing to
2:14do with performance. It's because of the overlap within their holdings. The point of this video
2:19is for me picking five ETFs that complement one another without being duplicates of each other.
2:25And that's exactly what I'm going to show you by the end of this video. So let's jump in with
2:29Vanguard S&P 500 ETF, symbol VOO, where it holds the 500 largest public companies in America and
2:37weighs every one of them by how big that company is. And that weighting is worth 20 seconds because
2:43it isn't what most people picture. You're not buying 500 companies equally. So if you put
2:48$1,000 into this fund, about $76 of it goes into Nvidia. While about $6 goes into Costco, a company
2:56that most of us go to every other week. The Giants obviously get the biggest slices. And everybody
3:01else is just along for the ride. And when a business shrinks, its slice shrinks right along
3:06with it. But the best part is, nobody has to make a decision. Nobody has to hold a meeting. That is
3:12the entire reason this thing can sit untouched for 40 years. For my money, its job is to just
3:18be the floor. It's what lets everything else I own be a little violent. And by violent, I mean that
3:23it's got big growth, which comes with big highs and a lot of big lows. And of course, something
3:27underneath all of that has to be a little boring. And this is the definition of boring in my mind.
3:33And for all intents and purposes, it has been a very good floor. Over the last 10 years, this fund
3:38has returned 15.5% a year, which turned $10,000 into $42,000. To me, that is a fantastic outcome
3:46and it's why this is the base of everything that I own. But like I said, it's just the base. It's not
3:52the ceiling. So hang onto that $42,000 because I'm going to put it up against the next couple
3:57of funds and the gap is bigger than most people expect. And since I'm going to let this one sit
4:02for decades, this is a must-have ETF in my cash account, meaning a regular taxable brokerage
4:09account. Because you have to remember, if you want to retire early, then you're going to need money
4:14that you can actually reach. And money inside of an IRA is meant to sit there until you hit the
4:19right age. Now of course there's a few ways around it, like the 72T, but those are hoops and I would
4:25much rather just have an account that I can pull from without asking anybody's permission. And the
4:30reason that I put riskier ETFs in a tax advantage account like an IRA is because if you need to buy
4:36or sell the ETF to minimize your risk or improve your returns, you can take action without an
4:42immediate tax hit. And please stick around to the end because I'm going to put all five of these
4:46funds side by side with their expense ratios, their dividends, and their performance. This
4:51way you can see exactly how they stack up against one another and how I'm choosing to invest in them
4:56based on my age and my risk tolerance. [01:04:58:14 - 01:06:38:26]
4:58Most every high-growth ETF tends to have at least one thing in common. Nearly the entire growth
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6:32Sign up before the seats sell out. Link is down in the description. You can also scan the QR and join
6:37the WhatsApp community before it closes. [01:06:38:26 - 01:16:32:06]
6:39Let's go ahead and jump into the opposite end of the risk scale with the Roundhill Memory ETF,
6:43simple D-R-A-M, where it only holds 12 companies that make their money from
6:48memory chips. And it does not spread that money out because Micron, Samsung, and SK-Hynix carry
6:54roughly three quarters of the whole fund just between them. Now here's why you'd want it.
6:59The AI build out ran straight into a memory wall in 2026 because every AI chip needs memory stacked
7:06right next to it and there isn't enough of it being made. That specific kind of memory is
7:11forecast to compound at 25% a year through the end of this decade, which is the fastest growth
7:17attached to anything in this video. And this fund is the cleanest way to buy it. It's also the only
7:22fund here that gets you direct access to Korean memory makers like Samsung. So I want that growth,
7:28but I only want a small piece of it. And it lives in my IRA because this is one that I'm pretty sure
7:33that I'm going to have to touch at some point. Memory has consistently worked in cycles. And
7:37while the demand looks like it runs for several more years, eventually supply is probably going
7:42to catch up and prices will come back down. And if I think that's starting to happen, then I want
7:47to be able to sell some of this and move it into something else. That's why an IRA is the
7:51only place that I can do that without taking an immediate tax bill. Now let's move on to the Vanax
7:57Semiconductor ETF, symbol SMH, which owns the 25 largest semiconductor companies and nothing else.
8:05So no software, no banks, just businesses that design and manufacture those chips. It weights
8:10them by size the way that the SMP fund does, but with one rule that changes everything because it
8:17caps how big any single company is allowed to get. And right now that's about 20%. And of course,
8:22here's why that rule matters to you. It means that the fund cleans itself. Whenever a company gets
8:27too big inside it, the fund is forced to sell some of it down and push that money right back
8:32into everything else. And you can watch it working because in the first half of 2026, almost none of
8:39this fund's gains came from its largest holding. In fact, they came from Micron, Intel and AMD,
8:44which are much further down on the list, and they're doing all the heavy lifting instead.
8:49That's why it's my highest conviction growth holding here. And here's the gap that I told you
8:54to hang on to. Over the last 10 years, this fund has returned 34% a year. So that same $10,000,
9:01it became roughly $186,000, where the SMP fund turned it only into 42,000. That is the entire
9:09reason that I don't just own the SMP fund and just call it a day. But it does come at a little bit of
9:15a cost and that is your ability to stomach all of the ups and downs. This fund took 45% from peak
9:21to trough in 2022. And that's one of four drops of 27% or worse since 2018. You took nearly twice
9:30the pain the SMP fund took that year. And you were paid roughly three times over the following year
9:36for just sitting still. And of course, sitting still is a very easy thing to say and a very
9:42hard thing to do while you're watching half your money just disappear. But like the SMP fund, this
9:48is one that I plan to hold for decades, so it sits in my taxable account right alongside with it. Now
9:53before moving on, if you're getting any value from my videos, then hey, I'd really appreciate
9:57it if you'd consider pressing the like button and also consider subscribing to the channel.
10:01And if you want to see any of my deep dive analysis or have Q&A sessions directly with me,
10:06feel free to join the community on Patreon. Next up is the TEMA Space Innovators ETF, symbol NASA,
10:13holding 38 companies across the commercial space economy. So launch providers, satellite operators,
10:19and the companies that own the spectrum those satellites run on. And there's really no index
10:24underneath it at all because a team at TEMA picks every one of those names by hand. This is the only
10:30fund on my list that overlaps essentially with nothing else that I hold. Everything else here
10:36is some version of a chip bet that's wearing just a different hat. And this one is a $600 billion a
10:42year industry that most portfolios don't even touch it at all. Now the biggest concern with
10:47a NASA ETF is that most of the companies in here don't really make any money yet. And the
10:53fund is down more than 40% from where it peaked in late May. So this is obviously a very small
10:58position for me and it sits in my IRA where I can resize it whenever I want. But I will say this,
11:05if you were considering to start a position in this space economy, this is a far better
11:10entry than it was back in May. Now we can move on to the Defiance Quantum ETF, symbol QTUM,
11:16holding 89 companies where every single position lands right at around 1%. And in some ways that's
11:22the whole appeal. Because nothing in here can completely sink you and nothing here can also
11:27carry every bit of you. Now the interesting thing about this fund is that only about 12% of it is
11:32actually tied to quantum computing. And a bit of a bonus with this one is that 20% of its holdings is
11:38with foreign listed companies that your S&P fund probably doesn't carry, like MediaTek,
11:43which is a Taiwanese chip designer with no real US listing. So for most of you, this is the only
11:48practical way to own those businesses. And given the quantum space is very up and down, I think it
11:53goes without saying I'm going to put this one in my IRA and the chart that I'm about to show you is
11:57going to list exactly why. So just like I promised at the beginning, let's go ahead and take a minute
12:02and look at the overlap of all the holdings of these funds. For me, two things really jump off
12:07the chart. The Semiconductor Fund and the Quantum Fund are the pair to think the hardest about. And
12:13the Space Fund touches nothing else at all, which is the whole reason that it made the list. So if
12:19you already own an S&P fund and a chip fund, those are the lines that I'd be looking at before you
12:25add anything else. But that top number does not mean those two funds are duplicates. They own most
12:31of the same companies, but one of them puts 20% of your money into Nvidia and the other one just
12:37puts 1%. Because remember, one is a concentrated bet on the winners. The other is insurance against
12:43being wrong about who the winners are. And this is also where I begin to answer the question that
12:48I know some of you have already started to type out in the comments, which is why QQQ isn't on
12:54the list or it's cheaper twin Now I honestly have nothing against it, and it genuinely beat the S&P
13:00fund over the last 10 years. But look at where it lands on this chart. It's 49% of the same fund as
13:07VOO and 32% of the same fund as the Semiconductor Fund. And those two are the backbone of this
13:14entire list. So in my mind, it isn't a sixth idea for me. It's a remix of the two positions that I
13:20already lean on the hardest, and it gets squeezed out from both sides. And that is exactly the same
13:26type of test that I want you to run on your own funds. Now let's double click into the companies
13:31themselves, because this is where it gets a little bit away from you. Nvidia sits inside
13:37three of these five funds. So if you bought all of them in equal amounts, Nvidia would end up at 5.9%
13:44of everything that you own. And of course, most of you probably already saw that coming. However,
13:49your biggest position is Micron. It sits inside four of the five funds, and it's a quarter of the
13:55memory fund all by itself. So buying all five in equal amounts turns one memory chip company into
14:027% of your entire portfolio, sitting ahead of Nvidia. And of course, you never picked that.
14:07It happened because four fund managers each made a perfectly reasonable decision inside
14:13their own fund, and nobody really added them up for you. So let's go ahead and take a step back,
14:18and here's how I'd put $100 to work across these. And I want to be clear upfront that this is based
14:24on my age and my own tolerance for risk, and really nothing else. I guarantee you that you're
14:30sitting in a very different position than me. So take this as a starting point, and this is
14:35not a prescribed way of approaching it. So for me, I'm putting 40% into the S&P fund and another 40%
14:42into the semiconductor fund. And both of these as a minimum are in my taxable account. The last 20%
14:48splits across the other three, with 10% going to the memory fund, 5% each to the quantum fund and
14:55the space fund. So as I mentioned earlier, I make it a point to hold those three only in my IRA,
15:02so I can reallocate them without a tax bill kind of holding me back. So 80% of my money is going
15:07to be sitting in the two funds that I never have to touch. And that is exactly what earns the other
15:12three the right to be as strange as they are. So here's how the top 10 holdings break out based
15:18on the allocation for myself. We have Nvidia at 11.4% and that's the one that I chose. And then
15:24there's Micron sitting second at 5.6% and that's the one that chose me. And it's still there even
15:31after I kept the memory fund small. And that's the difference between a position and pure accident.
15:37And here's the comparison that I promised you at the very start. All five of them side by
15:42side. Now there are two things that I'm going to point out on that chart. The two cheapest funds
15:46are also the two that I never have to touch. And I'm going to point out right now that is
15:50not a coincidence. And the two most expensive ones are the two with barely any track record,
15:56which is exactly why they're the smallest positions that I hold. And I'm also keeping
16:00them in my IRA so I can change them as I like. So that's my entire setup of five funds that actually
16:06grow that don't turn out to be the same bet once you open them up. And the three that I might
16:11actually act on are sitting where acting is free. So a key takeaway is open up the holdings before
16:17you buy and add up what you already own. So if you would go ahead and tell me down in the comments
16:23which of these five you would argue with because I guarantee you that some of you have a much
16:28better sixth fund that I should have included. And as always, thanks so much for watching.