So, the spy, the most traded ETF on the planet. It tracks the S&P 500. It's been around for over 30 years,
所以，SPY，是全球交易量最大的ETF。它追蹤標準普爾500指數。它已經存在超過30年，
00:06
and it moves billions of dollars every single day.
並且每天都在進行數十億美元的交易。
00:08
What exactly is the spy? How does it work? And why is it such a game changer for both investors and traders?
究竟SPY是什麼？它是如何運作的？以及為什麼它對投資者和交易者來說是個劃時代的改變？
00:14
So, by the end of this video, you'll understand exactly what the spy is, how it's built, and the biggest mistakes beginners make when investing or trading in it.
Okay, so let's start simple. So the SPY is an ETF which just stands for an exchange traded fund and it was launched back in 1993 which actually makes it the very first ETF in the United States.
So what does it do? The SPY is designed to track the S&P 500 index which is essentially the 500 largest publicly traded companies in America.
那麼它做什麼呢？SPY旨在追蹤標準普爾500指數，這基本上是美國市值最大的500家上市公司。
00:38
So when you buy one share of the SPY, you're essentially buying a tiny slice of Apple, Microsoft, Amazon, Google, and all these other companies in the index.
because instead of buying all the 500 individual stocks, you just buy one SPY share and that just means you have instant exposure to all the stocks within the index.
因為與其買入所有500支個股，你只需買入一股SPY，這就意味著你立即接觸到指數中的所有股票。
00:55
The SPY is also very liquid, which means there's a huge amount of trading activity that goes on every single day. And we're talking tens of tens of billions of dollars in daily volume, which means you can get in and out of the spy with very little slippage.
Here's where it sort of gets very interesting. So, when it was actually launched back in 1993, the idea of the ETF was actually quite revolutionary.
這就是它變得非常有趣的地方。當它在1993年推出時，ETF的概念實際上是相當革命性的。
01:13
Before spy, if you wanted broad market exposure, you had to buy mutual funds. But the problem with mutual funds was that it only traded once per day after the market closed.
And they often came with really high fees. So the spy changed everything. It let investors trade the market instantly like a stock during market hours. And it did it with really low fees compared to mutual funds.
Since then, ETFs have sort of exploded. Today there are thousands and thousands of ETFs covering every single sector, every country and every strategy you can think of. The spy was the first US ETF.
So now let's look at how SPY actually works. The spy is a market cap weighted ETF and all that means is essentially the bigger the company, the more influence it has on SPY's price.
They make up over 38% of the index's total weight. And this is why some investors often compare the SPY to the equal weight S&P 500 ETF, the ticker RSP.
Essentially, the RSP makes every single company have the same weight, so you get a much truer read on how each average stock is doing. Right?
本質上，RSP使每家公司都具有相同的權重，因此你可以更準確地了解每支平均股票的表現。對吧？
02:34
So, here I've opened up my charting platform. We have spy on the left hand side and we have RSP on the right hand side. So, like I said before, a lot of traders actually use the RSP to get a sort of gauge on the overall index.
The RSP makes sure that every company is equally weighted. So, it's not biased towards a particular sector.
RSP確保每家公司都具有相同的權重。因此，它不會偏向於特定行業。
02:51
So, as you can see, the sort of price action on both SPY near all-time highs, RSP all-time highs, they do follow the same pattern, but as you can see in between that price action is slightly more different on the RSP compared to the SPY.
And that is because every company gets the same waiting. So, you sort of get a much truer read on how the average stock is doing. But because the liquidity on the SPY, you can see that the price action does look sort of more smoother.
So, essentially the SPY is dominated by the mega caps, which is why sometimes the index looks very strong compared to the average stock underneath.
因此，SPY基本上由大型股主導，這就是為什麼有時候該指數看起來比其下方的平均股票更強勁的原因。
03:21
Right. So, now let's have a look at the sort of beginner pitfalls. What not to do, cuz I see a lot of small accounts, they get burned on SPY all the time. So, here are sort of the big ones.
Number one, confusing SPY with the entire global market. So, SPY only tracks the US market, not international stocks, not bonds, and not commodities. It's only US large caps.
Number two, ignoring the dividends. So spy actually pays dividends quarterly between 1.1 to 1.5% yield and some beginners they actually forget to account for that income or worse they don't reinvest it.
So over time the dividends they pay a huge part in the total return. Number three overusing spy options. SPY options are very very popular and they're among the most traded in the world. They're liquid, they're attractive but they decay very very fast.
Number four, not understanding expenses. So the spy actually has a tiny fee which is 0.009% which is quite cheap. $100,000 in spy you'd be paying about $94.5 per year in fees just to cover the operational costs. But if you're holding that for decades, even small fees compound.
So back here in 2020 during March time, the SPY actually dropped over 34% and this was due to panic selling and global uncertainty at the time. From the bottom in March 2020, SPY doubled in less than 2 years because the S&P 500 is diversified. The Fed added liquidity and big tech essentially carried the index much higher.
So it's important to know that SPY is fantastic for long-term investing and essentially swing trading. It moves with the market, slower than futures, but it's always reflective of the bigger picture.
Now let's have a look at the sectors and why and how SPY sort of moves. So why does SPY move the way it does? It's because it's a basket of sectors. So technology is currently the biggest slice of the index and it's approximately about 35% currently. Financials approximately about 14%, consumer discretionary it's about 11%, communication services 10%, healthcare about 9% and industrials, energy, utilities and all the rest of the sectors they fill out the rest.
Number two, is SPY safe long-term? There is no real easy answer for this. No investment is risk-free, but SPY has delivered consistent returns for 30 years by tracking the US market, essentially rises and falls with the economy.
Number three, what's the difference between SPY and V? They track the same index, but VO has a low expense ratio. SPY is essentially older and more liquid for trading.
Number four, can you get rich with SPY? No, you can't. Not overnight, anyway. SPY is sort of built for compounding wealth over time. It's not a lottery ticket. It's not going to make you rich overnight.
8如果投資者想要更均勻地反映各成分股的表現，應該考慮哪個ETF？If an investor wants a more equal representation of each stock's performance, which ETF should they consider?如果投資者想要更均勻地反映各成分股的表現，應該考慮哪個ETF？
If an investor wants a more equal representation of each stock's performance, which ETF should they consider?
10影片中提到，科技行業在標準普爾500指數中佔比約是多少？The video mentions that the technology sector accounts for approximately what percentage of the S&P 500?影片中提到，科技行業在標準普爾500指數中佔比約是多少？
The video mentions that the technology sector accounts for approximately what percentage of the S&P 500?
