Q: If I wanted exposure to the FANGMA stocks without buying them directly, would you recommend the ETF, or buying the CDR's for each individual company?
5i Research Answer:
For general exposure to the FANGMA names, we think owning TECH is a more efficient option than buying the individual CDR's where trading costs will likely be higher and hedging may lower returns. If there were specific names that were being targeted, we would suggest the CDR route. We would recommend the ETF in this scenario for general exposure to these six names.