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Thematic ETF Investing: What You Should Know

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  • (0:45) - Thematic Investing: Where Are Investors Putting Their Money?
  • (4:15) - ETFs To Benefit From The Biden Administrations Infrastructure Bill: PAVE & LIT
  • (7:00) - Cloud Computing, Clean Energy and Cyber Security's Long Term Outlook
  • (10:10) - Will Hydrogen Be The Fuel For The Future?
  • (13:00) - Global X AgTech & Food Innovation ETF:  KROP
  • (17:50) - Global X Blockchain ETF (BKCH - Free Report) : Can Investors Expect A Bitcoin ETF Anytime Soon?
  • (21:00) - Thematic Investing Risk With Chinese Stock Exposure:  What Should You Be Aware Of?
  •                 Podcast@Zacks.com

 

In this episode of ETF Spotlight, I speak with Jay Jacobs, Head of Research & Strategy at Global X, about thematic investing. Global X offers more than 80 ETF strategies with over $35 billion in assets under management in the US.

2020 was the year of thematic ETFs. Due to the pandemic, we all had to adapt to new ways of working, shopping, and entertaining ourselves. Companies like Zoom Video (ZM - Free Report) and Amazon (AMZN - Free Report) benefitted immensely from these trends and investors poured a lot of money into ETFs focused on themes like cloud computing, e-commerce, disruptive growth, work from home, and video gaming.

The Global X Cloud Computing ETF (CLOU - Free Report) and Video Games & Esports ETF (HERO - Free Report) were among the biggest winners last year. These areas have lost some momentum this year. What lies ahead?

Thematic investing remains very hot in 2021 as well. One of fastest growing themes is infrastructure investing. The Global X U.S. Infrastructure Development ETF (PAVE - Free Report) , which is poised to benefit from President Biden’s massive infrastructure bill, has gathered over $3.2 billion this year.

Jay’s favorite ETFs for the rest of 2021 include the Global X Hydrogen ETF (HYDR - Free Report) , AgTech & Food Innovation ETF (KROP - Free Report) and Blockchain ETF (BKCH - Free Report) . Tune in to the podcast to learn more.

Global X has also filed for two bitcoin ETFs. While many crypto exchange traded products exist in Europe and Canada, US regulators have repeatedly turned down several bitcoin ETF applications over the past eight years. Will we finally see a bitcoin ETF in the US in 2021?

Make sure to be on the lookout for the next edition of the ETF Spotlight and remember to subscribe! If you have any comments or questions, please email podcast@zacks.com.

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