IO Fund (rebranded Beth.Technology)

Appropriate to have a topic for @manch favorite female tech analyst, Beth Kindig

I/O stands for input-output and is used across all computing (cloud, AI, ML, etc). We specialize in tech growth, and this name symbolizes our singular focus on this niche.

I’ll introduce you to Knox Ridley, David Marlin and Jessica Ablamsky below.

@manch,

Your favorite EW guy beats algo!

Portfolio Manager Knox Ridley uses technical analysis to predict tops, call bottoms and help our readers navigate major market moves. We tested a quant with algorithms against Knox and Knox beat the machine every time.

May 9, 2020 - launch of IO fund, so use that as the start date for comparison…

May 9-Dec 31, 2020
ARKK and IO fund outperform…

May 9, 2020-now
ARKK is losing momentum, I would think IO fund is in similar situation… as time passed, AAPL would outperform both ARKK and IO fund :stuck_out_tongue_winking_eye:

Ytd,
So much for active managed etf (and IO fund)… well researched by experts??? well managed by outstanding portfolio manager? can’t beat passive investment…

Beth didn’t disclose what she holds in her IO fund. It’s easy to outperform for a short while, super difficult to outperform in the long run like WB.

For EWT fans here’s the wave count for ROKU:

FuboTV has been dismissed by quite a few analysts and investors for its negative gross margins. This dismissal, that leans heavily on the lagging financials, is reminiscent of the many times that tech stocks have been misunderstood.

@manch

Have you bought any FuboTV? Why are you interested in gambling stocks?? DraftKings and FuboTV are both gambling stocks now… don’t encourage bad social behavior.

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I further believe that the market put in an important bottom on May 12th. Below is a chart showing that since the May 12th bottom, quietly, we’re starting to see a rotation back to high growth names, and the selling of value as well as commodities.

Believe it or not, as far back as 2016, the contrarian position in tech was to remain a bull.

What kind of articles he is reading? Till now, all I read is buy tech, buy tech, buy tech.

Furthermore, we are seeing companies within cloud grow YoY revenues at rates that are historical records. For example, in recent reports: Shopify grew YoY revenue by 110.4%, Zoom by 191.4% (this is after 3 consecutive quarters of greater than 350% growth), Snowflake grew by 110% and Crowdstrike grew by 70%.

Funny. These are in my short list to buy as much as $100k.

“My prediction is this may be one of the last cycles when tech is considered less safe than value stocks. As the market will find out (the hard way), cloud software is actually very safe. It is insulated from trade wars and overseas manufacturing issues. It reduces costs for enterprises, which is ideal for a recession.”

:thinking:

Just like in late 2016, we are seeing an abundance of analysts suggesting that the major top is in or we are close. This would be followed by a major and protracted bear market.

Not what I have read. Most analysts are predicting uber bull market for many years. There are two type of articles going around? Or we live in different world?

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It’s easy to get creative with new names coming on the market, especially with IPOs, the small cap rally we saw earlier this year and the SPAC bubble. Yet, it can often pay off to stick with the tried and true. Winners tend to keep winning and Q1 of 2021 was no exception to this rule.

Insight for @manch

This is a good chart. The peak and bottom of growth stocks (like Cathie’s portfolio) lined up with Treasury and various commodities.

Broadcom Inc. (NASDAQ: AVGO) shares rose 50% in the past year. The company’s revenue growth has been strong as it grew at a compound annual growth rate (CAGR) of 16% in the past five years. It also has a very good profit margin which also plays an important role in the long-term stability of dividend payouts.

The company has a dividend yield of 3.00%. It is comfortably above the US 10-year treasury rate of 1.19%. The company has steadily increased its dividends. The free cash flow from which the dividends are paid is also increasing. In the recent earnings call, the company’s CFO, Kirsten Spears mentioned “Relative to capital allocation, first and foremost, we’re dedicated to paying 50% of our free cash flows to our shareholders.” In the recent quarter, it had a free cash flow of $3.4 billion and dividends paid were $1.6 billion.

This is a good point. If you want a dividend paying stock in your portfolio, a solid semiconductor company that never goes out of style is a good choice.

Better choice, AAPL MSFT :slight_smile: Capital growth + dividends.