For investors seeking momentum, Global X Health & Wellness Thematic ETF (BFIT - Free Report) is probably on radar now. The fund just hit a 52-week high and is up nearly 18.2% from its 52-week low price of $15.68/share.
But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed.
BFIT in Focus
This ETF tracks the Indxx Global Health & Wellness Thematic Index, which measures the performance of companies in developed markets that provide products and services aimed at promoting physical wellness. Dexcom, Lululemon Athletica and Puma SE are the top three stocks of the fund.
Apparel, Accessories & Luxury (22.1%), Footwear (19.8%) and Packaged Foods & Meats (17.1%) are the top three industries. United States (39.5%), Japan (15.0%) and Canada (7.8%) are the top three geographies of the fund. The product charges 50 bps in fees (see all Consumer Discretionary ETFs here).
Why the Move?
People are becoming more health conscious. Millennials – gradually turning out to be the backbone of the U.S. economy – are currently the driving factor behind organic produce sales. Per a research report, the Health and Wellness industry in the United States makes over $153 billion a year, which represents a quarter of the global sales. The market has grown at a steady rate of 5% and has brighter prospect.
More Gains Ahead?
It seems that the fund will perform decently in the near term given a positive weighted alpha of 19.70. Some of the segments that make up this ETF do have strong Zacks Industry Ranks.
Want key ETF info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>