John Hood Robo-Global Robotics and Automation ROBO-Q COMMENT Jan 19, 2018

It is not just ROBO devices, but also a bunch of medical devices companies. Institutions are getting into it in a big way. It is an interesting play, but not for older investors, which he has.

Robo-Global Robotics and Automation (ROBO-Q) or Global X Robotics (BOTZ)? He likes robotic ETF’s that are spread around a little, a little bit more diversified. Either one would be fine. If you are comfortable with that level of risk, they are fine.

A very interesting ETF. It has to do with automation and artificial intelligence. A little riskier because it is a niche product. If you want to be a little aggressive, he sees nothing wrong with this.

He likes this and thinks it is a good ETF. You buy this and hold it as the industry evolves. This is about 40% US and 30% Japan. It’s a space where we are obviously going to see some growth, and hopefully the company they’ve selected are appropriate.

BOTS-Q vs. ROBO-Q. A good homerun in the market. The ETFs have been around since 2016 but have rocketed. You pick them in Canada or the US. BOTZ-Q is a bit more focused. AIEQ-N is run by artificial intelligence. It is actively managed by a robot.

It's really specialized. It's pricey with a 0.75% MER. There are 100 positions in it, all robot/AI companies. It's fairly new. Be careful with this one. Sure, there's a lot of scientific knowledge within these companies, but that's doesn't necassarily translate into profit.

BOTZ or ROBO? He's fine with ROBO, but doesn't know BOTZ. ROBO contains A.I. companies, both great and small, so keep that in mind.

BOTZ vs. ROBO: The difference is that ROBO is an equal-weighted ETF and BOTZ is market-cap weighted. ROBO you get more mid- and small-cap, with maybe a better long-term return. But essentially both ETFs are very similar.

His favourite US ETF, which holds AI and automation. Canada doesn't have an ETF like this. None of ROBO holdings are in Canada, so it gives you foreign exposure.