11Mon·

Cap limit

I read today that the strong performance of SAP will not cause the DAX to rise further, as there is a cap of 15%. This is the maximum value that can be attributed to a single stock. Does this now mean that a further increase in SAP will not cause the DAX to rise more strongly and therefore an ETF on the DAX is actually completely pointless?

6 Comments

Leopold T.@Tuffbet

11Mon

So why is an ETF on the Dax completely pointless? In my opinion, a maximum weighting of 15% makes sense because it is completely sufficient. If that doesn't suit you, you can simply buy an SAP - issue settled. If you've ever had a stock with a weighting of over 15% in your portfolio and it crashes, you know why that's a good thing. For me, a 15% weighting in the portfolio is already too much.

•

Endymion@Endymion

11Mon

@Tuffbet that makes no sense.

••

C_Montgomery_Burns@C_Montgomery_Burns

11Mon

A 15% weighting would be too much for me. My personal "feel-good limit" for individual stocks is only 5%. Of course, if an individual share gets bigger, I don't mind. But then I don't buy any more.
Everyone has to decide for themselves how much risk diversification they like.

•

Krynt@Krynt

11Mon

There will therefore soon be a new Dax

•

CrashBurner@Psychedelic_Sunflower

11Mon

That doesn't make it any more pointless than it already is

•

Jakub@Kubo

11Mon

What will

••