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Fidelity Fund's Big Bet On Juul Looms Large Amid Controversy: (FBGRX)
FYI: Juul Labs Inc has become one the biggest bets in the portfolio of Fidelity’s $28 billion Blue Chip Growth Fund, whose exposure to the troubled e-cigarette maker has climbed to $761 million amid a regulatory backlash and departure of its top executive.
Let's ban caffeine too because it's addictive - no soda, no coffee.
Let's also ignore all of the issues with alcohol, combustible cigarettes, weapons, etc., which have all proven much more dangerous. Oh wait, that's what we're already doing.
You're conflating delivery mechanism (with various effects of their own) with addictive substances. The addictive substance in e-cigarettes such as Juul is nicotine. Same as in cigarettes, cigars, etc.
Cigarettes are proven much more dangerous? Fair enough to say that cigarettes are proven dangerous. What one can't say is that e-cigarettes are proven to be less dangerous. Where are the 30 year studies? Oh, wait.
From an investor perspective, Fidelity went out on a limb investing in a company where (according to the cited article) 80% of its revenues come from flavored products. The historical pushback on cigarette ads targeted at youths was well known before recent events unfolded. Foreseeable risk.
Comments
Let's also ignore all of the issues with alcohol, combustible cigarettes, weapons, etc., which have all proven much more dangerous. Oh wait, that's what we're already doing.
Cigarettes are proven much more dangerous? Fair enough to say that cigarettes are proven dangerous. What one can't say is that e-cigarettes are proven to be less dangerous. Where are the 30 year studies? Oh, wait.
When even the relatively toothless FDA (I agree with you on that) says that Juul hasn't proven its products to be safer, it seems fair to ask where's the proof (not just fragmentary evidence, but "proof").
https://www.wired.com/story/fda-juul-cant-claim-safer-cigarettes/
Nicotine issue ignored?
https://www.fda.gov/tobacco-products/ctp-newsroom/fdas-comprehensive-plan-tobacco-and-nicotine-regulation
From an investor perspective, Fidelity went out on a limb investing in a company where (according to the cited article) 80% of its revenues come from flavored products. The historical pushback on cigarette ads targeted at youths was well known before recent events unfolded. Foreseeable risk.