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Unknown A
So how to invest without investing in Tesla stock or Elon Musk. That's the subject of today's video. And this is actually a question I got a couple of days ago and I thought it's a good time to address it now on the weekend, because essentially there's been all sorts of crazy news and all this crazy stuff that Elon Musk is doing, and I want to keep up with that. But now I want to address essentially, how do we hit him where it hurts, which is his wallet. Right. So first, you guys know this. Probably, it's obvious. Don't buy Tesla cars, don't buy Starlink, don't give any money to his companies, don't give money to Twitter, these kind of things. And if you have any Tesla stocks, sell it off. Sell his cars and just don't have anything to do with them. Unfortunately, that doesn't quite clean the slate.
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Unknown A
Exactly. Because if you have index funds in the s and P500, that's going to have money into Tesla stocks. So there's that. I'm not necessarily saying sell off all of your index funds because generally speaking, investing in the market with index funds is a pretty safe way to do it because you're diversified fairly well. Right. One thing you could do. So I make that really clear. Right? So index funds are still good, but for those of you who are opening up new positions, this sort of. I want to address one thing you could do. You could buy individual stocks and then just don't buy Tesla stock. Right. You could actually go out and buy all 499 other stocks other than Tesla stock. And that would be one way to do it, but that would be kind of hassle and burdensome. So I want to go over some options that are a little bit more simplistic, again for new positions, if you don't want to invest in Elon Musk or Tesla.
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Unknown A
So one actually this day in age would be dividend stock ETFs. Tesla does not offer a dividend. So if you pick up dividend stock ETFs, that means you're not investing in Tesla. So that's actually a really easy way to get around it. Another thing you could do is you could just buy individual stocks. Anything but Tesla. Right. I can mention that before that ends up being often a little bit tricky for people who are new to this stuff. And you have to track too many news on what's going on with various companies. You have to track valuations, that kind of stuff. And that is fine for some people, but not necessarily for everyone. That's sort of why we talk about ETFs more often on this channel. Another thing you can do to buy stocks and invest without investing in Tesla would be just get various industries that don't include Tesla in it, right?
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Unknown A
So there are a lot of industry ETFs out there. So for example, you say, hey, you know what? I want to invest in health care stocks. So you pick up a healthcare etf. Or you know what, I want to invest in financial stocks, right? So you'd pick up a financial etf. Or you know what, I want to do real estate etf. You could do that, right? So those are some various ways to invest in stocks without Tesla. The other thing is you could do different asset classes. So you could go with bonds, right? That's not going to have Tesla in it or something like CDs, which I always mention all the time. There's nothing wrong with fixed returns, fixed income, there's nothing wrong with that. Or hold some cash, right, In a high yield savings account. That's pretty good as well. The other thing you could do is like, you know what, I'm just not going to mess with the markets.
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Unknown A
I'm going to put all my money into real estate, that kind of stuff, right? So you should still invest. And you could think of real estate as investing. It's always a tricky thing with real estate because it depends on where you live, when you buy, right? What neighborhood, and also what the maintenance costs are, HOA fees, all these kind of things. Insurance. So that comes with a whole other set of risks. Everything has risks out there. So I want to make that really clear. Everything has risks, but this is something that is a big, big risk. And I completely understand it, is that Elon Musk and Tesla are grossly overvalued and is a big part of the s and P500. And so that's why we're talking about this today. Other things you could invest in. Some people are really into gold, that kind of stuff.
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Unknown A
I live in Korea, I'm in Asia, so a lot of people in Asia like gold. I'm not one of them. So you don't see me shilling gold all day every day. But I understand some people really like that stuff. And if you want to do that, I have no problem with that, to be perfectly frank. Basically is you just want to diversify, do different things. One good advice that would always recommend is pay off your debts, make sure that you're clear that way. And it's kind of like investing because you are Getting a return on your money in the sense that if you don't pay off your debts, you're eating a lots of interest rate every month, every year, etc. Another thing you can do is you can invest in countries. Actually there are different country ETFs out there, so that means you would pick countries that don't have Tesla.
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Unknown A
So pretty much everything other than the usa, you can pretty much safely invest in stuff that doesn't have Tesla in it. Another thing you can do too, and this is sort of like, and it's not exactly the answer to my first question is like, how do you invest without investing in Tesla? But it minimizes your Tesla exposure. So one would be a balanced etf, which I like those quite a bit. So basically what it is, it's, hey, I'm going to have a ETF that's going to include both bonds and stocks in it at the same time. And so it just lessens the weight off of money into stocks. Other thing you can do is an = weighted ETF, because right now much of the S&P 500 is overweight tech and a lot of the tech is overvalued. And so if we do equal weight kind of thing, it sort of balances that factor out and it doesn't remove Tesla out of that entirely.
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Unknown A
But it certainly is a way to get around the overweighted valuations. In my opinion though, I personally think dividend stocks aren't so bad right now. But I'm kind of a fan of dividend stocks all along. That's just me. Or another thing you can do as well. I was sharing some thoughts with you. You could say, you know what, I'm just gonna invest in Berkshire Hathaway. Warren Buffett. One risk with that though, if you go with Berkshire Hathaway, is that Warren Buffett is probably maybe only got a few years left in him. I can't predict Warren Buffett's exact control of his company or how much longer he's gonna live, but I'll just say I don't think he's going to be there forever. Right? He can't be, maybe only a few more years. So that's going to be the really interesting thing is after he leaves, how were his successors handle that?
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Unknown A
And will people still have faith in Berkshire Hathaway? That I don't know, but I'm just giving you some options. The other thing that you could do as well is if you're looking at whatever ETFs that you're looking at, just make sure you check the holdings and see is there Tesla in it or not? Not everyone invests in Tesla. I understand if you watch YouTubes or if you watch your CNBCs or whatever, they always make it seem like that Tesla is the only stock out there. It is one of the most popular stocks out there. And I understand that Elon's a popular person, but there's a lot of people that want to invest without investing in Elon. And I just gave you some ways to do that. I just really wanted to emphasize, though, that I understand that, you know, you could say, haha, joke's on you, I'm not going to invest at all.
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Unknown A
Right? But it's not really a good way to think about things. Just think about this. If you can get your money to work for you and grow, right, you know, opposed to just, you know, sitting under the mattress actually is a good way to do things. Yes, there's risk with everything, guys. I want to make that clear. Yes, there's risk with everything, but you learn to manage your risk, right? You say, okay, I'm comfortable with this amount of risk, meaning that when you throw your money into, say, for example, stocks, I'm okay if it goes down 30%, I'm happy if it goes up 100%, but, you know, I'm okay with that and I'm willing to wait for it to come back. Or if you're in a situation where you can't have something come go down, say 30% or whatever, then you would say take less risk out of the, you know, take risk out of the market, right?
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Unknown A
And just sort of things that are going to be, you know, a steady return, be it bonds or CDs or, you know, savings account stuff like that. Or, you know, if some people. Well, real estate's a tricky one because I feel like real estate is overvalued right now, in my opinion. And, you know, whether or not it's going to crash, that remains to be seen. No one's really necessarily predicting that. The thing that we are predicting actually for this year is chances are high chance of stagflation. So we're going to track that stuff as we go through the markets. That's what we try to do every day. I know late lately it's been a lot about what Elon said this and what Trump said that. But I do want to talk about money when we can in the economy. And the other issue as well as right now with Trump's policies are all over the map.
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Unknown A
Tariff this, tariff that. It's really, really hard to know honestly what the future holds and things are like really, really volatile. My personal opinion is I would avoid cryptos, I'm just not into that stuff. I'm not into the higher risk stuff and definitely I'm not into Tesla or Elon Musk. So I just wanted to give you some various options to think about, you know, what to do with your money, that kind of stuff. And ultimately though I want to make this clear, ultimately it is up to you and for you to decide. So that's why I give you just a variety of things to think about. But yes, you can invest without investing in Elon Musk or Tesla. There's no one forcing you to invest in Elon Musk or Tesla and in my opinion it's grossly overvalued so you should probably avoid it. However, again make choices that make sense for you.
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Unknown A
I want to hear your thoughts or any other ways that you could probably do this stuff. Do appreciate your time and I'll catch you on the next video.