Investors seeking momentum are likely to have ETFMG Prime Cyber Security ETF (HACK - Free Report) on their radar now. The fund recently hit a new 52-week high. Shares of HACK are up approximately 19.9% from a 52-week low of $28.27/share.
But could there be more gains ahead for this ETF? Let’s take a look at the fund and the near-term outlook to get a better idea of where it might be headed.
HACK in Focus
HACK focuses on providing exposure to the global cybersecurity space. It is suitable for investors who expect rising demand for cybersecurity. The fund charges 64 basis points in fee per year and has AUM of $1.2 billion (see all Technology ETFs here).
Why the Move?
With rising fear of cyber-attacks, investors are betting big on the space. After multiple cyber-attacks in 2017, President Donald Trump in his budget, kept aside around $80 billion for IT and cyber-security funding, a 5.2% increase from the previous budget. Moreover, per Gartner, global enterprise cyber-security spending will increase 8% in 2018 to $96.3 billion.
More Gains Ahead?
HACK has a weighted alpha of 18.2. Given the expected rise in demand for cybersecurity spending, this ETF is poised to offer good returns. So, there is a promising outlook ahead for those who want to ride this surging ETF a little further.
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