<h1>4 Key Reasons to Avoid Investing in Theme-Based ETFs</h1>
<p>I'm Tyler, a former financial advisor and portfolio manager, here to share my insights on why I would never invest in a theme-based ETF.</p>

<h2>1. Ridiculously High Fees</h2>
<p>Thematic funds are notoriously expensive, often with fees around 1%. For perspective, if you were to invest $100,000, that's like lighting a thousand of it on fire every single year.</p>

<h2>2. Lack of Track Record</h2>
<p>Thematic investing is relatively new, and most of these funds will lack a performance history or consistent management.</p>

<h2>3. High Failure Rates</h2>
<p>Statistically, about 80% of thematic funds close within the first five years of their existence, primarily because they fail to attract enough investments from people like you.</p>

<h2>4. Misleading Themes</h2>
<p>Many thematic funds use catchy ticker symbols to attract your attention. For example, the thematic fund with the ticker symbol UFO might imply that it invests in extraterrestrial technologies, but in reality, over 75% of its assets are invested in aerospace and defense spending, including major government contractors in the US.</p>

<p>If any of this is helpful, <a href="#">like and follow</a>, and I'll keep trying to get you one step closer to where you need to be.</p>

Discover the pitfalls of thematic ETFs, including high fees, lack of track record, high failure rates, and misleading themes. Understand why these investments may not suit your financial strategy.