Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable

[JRP3]

I’m a newly minted (mostly on paper!) multi-teslanaire, so I thought I should throw some of my new money at BPTRX to get some skin in the SpaceX game while also adding to my TSLA holdings. When I stepped in with my newfound heavy hitter swagger to review my $50k purchase I was rudely informed by Schwab that the minimum investment is $999,999! Am I missing something? It appears I’m punching with nerf gloves and not those of a Tyson-level investor!

Swagger adjustment under way.

I had the same experience a while ago when I put in a buy order for BPTIX

BPTRX is retail class with 2500 minimum investment. I am investing in this one now, also in 401K. Returns on both are identical, so no difference for us investors. No need to adjust swagger

yes, expense ratio is higher than other funds- but returns have been great, so we’ll worth it

Seems as if they only started outperforming near the end of last year, mostly because of Tesla.
BPTRX - Baron Partners Fund Retail Shares | Fidelity Investments

 

[MP3Mike]

BPTIX is institutional class with 1M minimum investment. However, you can invest with less if it is a retirement account. In my case it is in a 401K. I invested 10k in this one before realizing it is the institutional class

BPTRX is retail class with 2500 minimum investment. I am investing in this one now, also in 401K. Returns on both are identical, so no difference for us investors. No need to adjust swagger

The returns for the two are not identical. The difference between the two is the fees. If you can invest in BPTIX you should as it has lower fees and higher returns. 1.96% vs. 2.22%. (YTD return 87.72% vs 87.37%)

 

[Joesantelli]

Why have people given up on S&P 500 inclusion so quickly? Don’t be misled by predictions made either way by randos on Twitter.

Just go by the clues given - Elon’s snake jazz & Polynesian elevator music tweet and the curious timing of an ATM cap raise agreement.

Stop the snake jazz and Polynesian music literally has nothing to do with s&p.

The capital raise does raise questions tho.

 

[lafrisbee]

I am shocked at the amount of money being spent to keep Tesla from falling.. Can the buying power be sustained?
- Jim Cramer On Friday (09/04/2020) price action

He seems to imply some forces spending money just to keep the price from going down, and that it's not organic sellers who are buying the stock (forming support).

Any thoughts?

He is correct in what he saw there. But I have an issue with him not understanding the Friday options closing and the Manipulation needed to reach Maxpain. That is all it was. And Why he does not understand something so elementary has me doubting he understands basic stock market mechanics.

 

[Joesantelli]

I didint see much talk here on the soft bank story considering we hit a bit of a drought after the last earnings for a few weeks and then suddenly popped with stock split news as the main catalyst how much do you guys think softbank had to do with the run up?

 

[lafrisbee]

"Someone told me the teslaphobiacs (tesla shorters) are paid by those traditional automakers who missed the EV wave and are struggling now to stay afloat. No need for such conspiracy theories. Usually, teslaphobiacs are just people who thought it clever in the past not to take Tesla seriously and were too stubborn to change their minds. The more money those who believe in Tesla are making with the stock, the more frustrated are the teslaphobiacs and the more they try to convince everyone not to invest in Tesla. That`s just about psychology of frustration."

Nope.
First, their whole perception of TSLA has been completely evaporated. They cannot find a single credible source that TSLA is going to fail. ANYWHERE. And they also are extremely capable of understanding the big picture because they laboriously pick through the overwhelming data of how TSLA is achieving its goals to find small shreds that support the idea that TSLA will fail. They do it in an intelligent thorough manner where if they could just get the reader to focus ONLY on the few outlying data points they can identify the reader will believe TSLA is going to fail. AND they completely ignore the vast amount of data that proves beyond a doubt TSLA is never going to fail, and is in fact the leader of the EV Market. Period.
If they were believers they would have some theories about how ICE cars are better, and how fossil fuels are good for the world. They won't recognise the industry is the future and it is lead by TSLA while the rest of the world has... If an EV created by another Manufacturer is created it is deemed "the tesla killer" regardless of how much it isn't. And the "teslaphobiacs" won't acknowledge the reason the term "Tesla Killer" exists.
Teslaphobiacs like Gordo are intelligent enough to see the truth and avoid any mention of it. There is only one reason he maintains the position he likely had at one time because he believed TSLA would fail now. And that is because big $$$$$ (oil and ICE companies) are paying him. Big Business realizes they can't stop TSLA. Big Business is just trying to slow TSLA. If I were to romanticize Gordo and his ilk, they see themselves as the Spartan 300. They know it isn't going to end in their favor.
But in truth they are mercenaries, and just fodder for the ICE and Oil business. It is best to describe them as the rear guard of the retreating army of big business.

 

[Rockster]

a quiet Elon is a dangerously good thing for us.

Possibly the best statement from this entire topic of discussion.

 

[lafrisbee]

Zero hedge is tweeting a story about a tesla with self driving on that just ran over 3 people in a busy market in china

My calls are so f"#($ed.

you need to find a Master, someone to make every decision for you... no one in their damn right mind reads zero hedge. And there's no level to describe someone that would bother to forward anything from that source.

 

[lafrisbee]

Cathie Wood has a new video out published yesterday on the Ark Invest YouTube channel where she reflects on the macro environment and the recent market correction last week.

I found it quite interesting and useful. For example, she and Ark think that we should expect low interest rates over the next 5-10 years and that this means that higher P/E ratios expectations on stocks are warranted. So even if current SnP500 PE is high compared to history, she expects that this will continue to be the new norm. Hence we are not in bubble territory even though one might get the impression by just looking at historical charts.

Thoughts?

Sorry if this has been posted before but I didn’t find it by searching the forum.

This has been stated by several other investors about the general market, and reason to not expect the bubble bursting as it did in the Dot.com era.

 

[Intl Professor]

Stop the snake jazz and Polynesian music literally has nothing to do with s&p.

The capital raise does raise questions tho.

Like a mahout training an elephant with a hook, we often deride the media crying for attention by touching our pain centers. Occasionally there is an oasis of relief. Even the "Old Grey Lady," offers some solace from this noise and fury. For example:

5 Minutes That Will Make You Love the Violin

Edit: Warning: You'll end up listening for hours, five minutes at a time.

 

[AudubonB]

I think that's just an acceptable yet vague answer for keeping their cards close to the vest. No need to telegraph their intentions.

This is exactly the case. It is as absolutely true and as absolutely useless as other such blandities like

* The reason the chicken crossed the road was to get to the other side

* “Where are you, Mr HotAirBalloonist Sir? Why, you are in the middle of my cornfield”.

* I resigned in order to spend more time with my family (especially rib-splitting in this Year of Pandemic)

 

[dl003]

Zero hedge is tweeting a story about a tesla with self driving on that just ran over 3 people in a busy market in china

My calls are so f"#($ed.

Yes, yes they are. You should close them first thing Tuesday morning.

 

[M|S|M MYP]

Yes, yes they are. You should close them first thing Tuesday morning.

Agreed....closing out the entire $TSLA position pre market Tuesday morning .....

 

[RobStark]

 

[printf42]

Zero hedge is tweeting a story about a tesla with self driving on that just ran over 3 people in a busy market in china

My calls are so f"#($ed.

Who in their right mind would enable autopilot in a market?
Reports I saw is saying it’s a busy city street, anyways if autopilot is enabled in that kind of street, it’s already driver’s error by itself.
They usually ran this kind of FUD as unintended acceleration, maybe that never works so they are trying another angle?

 

[printf42]

Why have people given up on S&P 500 inclusion so quickly? Don’t be misled by predictions made either way by randos on Twitter.

Just go by the clues given - Elon’s snake jazz & Polynesian elevator music tweet and the curious timing of an ATM cap raise agreement.

Did you read the memo that it will be included the exact moment we all give up and closed all short term calls?

 

[StrawbrryField]

BPTRX and BPTIX are available broker specific. My UBS account has no minimum for BPTIX. While I love that I own spacex, it’s very much a TSLA play. And I don’t think anyone is truly missing out if they just buy TSLA over BPTIX.

I had the same experience a while ago when I put in a buy order for BPTIX


Seems as if they only started outperforming near the end of last year, mostly because of Tesla.
BPTRX - Baron Partners Fund Retail Shares | Fidelity Investments
View attachment 585045

 

[EV forever]

Seems as if they only started outperforming near the end of last year, mostly because of Tesla.
BPTRX - Baron Partners Fund Retail Shares | Fidelity Investments
View attachment 585045

True - kind of like my portfolio
Ron Baron has been a huge fan of Tesla and Elon Musk for a long time - he has kept his investment in Tesla for all these years. Many of us had the same experience - investing TSLA since 2014 for me, but no real major gains till end of last year.

The Baron funds are different than the ETFs like ARKK in that they are non-diversified and do not need to rebalance to a pre-determined number. Currently, their TSLA investment has grown to almost 35% of their portfolio weight. So, if you are trying to diversity away from TSLA, keep this in mind.

However, these are the only ones I found with substantial investment in Space X. I would like it to be larger, but could not find another fund that does so (only mutual funds allowed in my 401K) Also consider BFGTX BFGFX - Baron Focused Growth Mutual Fund - Small to Mid-Cap Growth. It also has 3.5% of Space X

The returns for the two are not identical. The difference between the two is the fees. If you can invest in BPTIX you should as it has lower fees and higher returns. 1.96% vs. 2.22%. (YTD return 87.72% vs 87.37%)

True - again you are right and these small differences will probably make a difference in the long run. Maybe I will switch everything to BPTIX if I can. In my defense, I am usually doing these research late at night, when the family if gone to bed - doesn't always help with accuracy

 

[StealthP3D]

S&P can decide what they want.....I can too
I have two 401(k) accounts. One at Vanguard and another at Fidelity.
In the Vanguard account, I invest only in mutual funds.
Here are my returns YTD:
View attachment 584798

The S&P 500 fund is up 7.45% for the year.
The International Growth fund, which holds Tesla as it's 4th largest holding, is up 29%.
I had assumed I was invested in the 500 largest US companies with the S&P 500. I see now I was incorrect.
On Tuesday I will move my investment from the S&P 500 to the International Fund until Tesla shows up in the S&P 500.
Here are the top 10 holdings of the International Growth Fund:

View attachment 584800

I like your idea to get out of the S&P 500 Index but this might not be the right time to enter the International Growth Fund (after such excellent performance over the last 9 months). A good way to de-risk at this stage of the markets would be S&P 500 to Russel 2000 (which also has TSLA, although a lesser percentage).

Since you already have the ability to invest directly in TSLA in whatever percentage you feel appropriate, the TSLA weight in a fund should not even be a consideration. The Russel 2000 has a history of under-performing the S&P 500 but it also tends not to rise and fall as much so, having ridden the S&P 500 and the International Growth Fund so far up, it might be a good time to re-weight into a fund that is likely to fall less if we hit a period of negative returns.

Just a thought.

 

[dhanson865]

Trust Tesla knows what’s going on. Now I understand why the short shorts were pushed to fall.

also understand why Elon is very quiet. If he was upset about s&p - he would have tweeted about it.

a quiet Elon is a dangerously good thing for us.

Remember - we still haven’t seen the SBOTC. Elon has never failed to deliver on something he has stated publicly. Never.
Just late.


I will be buying on any weakness.

SBOTC?