Lithium etf (LIT)

Discuss all general (i.e. non-personal) investing questions and issues, investing news, and theory.
Post Reply
Topic Author
rafkg29
Posts: 29
Joined: Tue Oct 09, 2018 1:07 pm

Lithium etf (LIT)

Post by rafkg29 » Thu Jan 10, 2019 7:53 pm

Thoughts on the lithium etf? I prospect that it could do quite well over time.

am
Posts: 2978
Joined: Sun Sep 30, 2007 9:55 am

Re: Lithium etf (LIT)

Post by am » Thu Jan 10, 2019 8:35 pm

rafkg29 wrote:
Thu Jan 10, 2019 7:53 pm
Thoughts on the lithium etf? I prospect that it could do quite well over time.
Most on this site like to buy all the stocks by indexing, instead of trying to pick the winners. What makes you think it will do well? Most are wrong when it comes to predicting the markets.

bluquark
Posts: 623
Joined: Mon Oct 22, 2018 2:30 pm

Re: Lithium etf (LIT)

Post by bluquark » Fri Jan 11, 2019 1:19 am

I agree with the narrative that lithium will play an important role in the world going forward. But that is obvious to everybody, so do you have any specific reason to think lithium’s future is not priced in already? And even if it outperforms, will it do so by more than the expense ratio of 0.75%?

Valuethinker
Posts: 38381
Joined: Fri May 11, 2007 11:07 am

Re: Lithium etf (LIT)

Post by Valuethinker » Fri Jan 11, 2019 9:44 am

bluquark wrote:
Fri Jan 11, 2019 1:19 am
I agree with the narrative that lithium will play an important role in the world going forward. But that is obvious to everybody, so do you have any specific reason to think lithium’s future is not priced in already? And even if it outperforms, will it do so by more than the expense ratio of 0.75%?
I doubt that there are many stocks that are pure lithium plays, either, (please excuse the pun ;-)).

If Bolivia, which has the world's largest pure deposits (I believe) could not strike a deal with battery producers that included battery production in-country as opposed to just lithium extraction, then what chance do investors have?

Rare Earths (which are not all by any means rare) is another area where there was a hype bubble, and a then a bust (I think it was Molycorp that went bust - which had planned to restart US extraction). There are mercantilist/ strategic issues there, but again it's hard for investors to leverage it.

Shallowpockets
Posts: 1248
Joined: Fri Nov 20, 2015 10:26 am

Re: Lithium etf (LIT)

Post by Shallowpockets » Fri Jan 11, 2019 9:56 am

I am watching it now in real time quotes. No stock movement at present. Spread bid/ask is .03. This is a stock you may have a problem getting rid of when you want. How long a time frame are you looking at? I see you missed the boat by not buying in late December.

User avatar
nisiprius
Advisory Board
Posts: 38707
Joined: Thu Jul 26, 2007 9:33 am
Location: The terrestrial, globular, planetary hunk of matter, flattened at the poles, is my abode.--O. Henry

Re: Lithium etf (LIT)

Post by nisiprius » Fri Jan 11, 2019 10:11 am

:twisted: :twisted: :twisted: How about Lithia Motors (LAD)? :twisted: :twisted: :twisted:
Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness; Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.

User avatar
Alexa9
Posts: 1872
Joined: Tue Aug 30, 2016 9:41 am

Re: Lithium etf (LIT)

Post by Alexa9 » Fri Jan 11, 2019 8:34 pm

Take this with a grain of lithium salt, but I wouldn’t bet the house on it.

MarkRoulo
Posts: 120
Joined: Mon Jun 22, 2015 10:25 am

Re: Lithium etf (LIT)

Post by MarkRoulo » Sat Jan 12, 2019 4:35 pm

rafkg29 wrote:
Thu Jan 10, 2019 7:53 pm
Thoughts on the lithium etf? I prospect that it could do quite well over time.
My first thought is that the ETF is named the "Global X Lithium & Battery Tech ETF," not the lithium etf.

My second thought is that Tesla is the 4th highest holding with about 6% of the fund's assets.

#1 is FMC, which does a lot of business with agriculture.
#2 is Albemarle, which is a broad chemical (including lithium!) company.

Other than the name of the ETF, what is it you find attractive?

Post Reply