There are over 90 million millennials--people born between 1980 and 2000-- making it the largest generation in the US, per GlobalX. Older millennials already have a lot of purchasing power while many younger millennials are entering the workforce now.
Millennial spending is expected to rise to $1.4 trillion annually and account for 30% of total retail sales by 2020, according to Accenture.
This generation will inherit trillions of dollars over the next few decades according to RBC research. There are a couple of ETFs that are designed to benefit from the spending habits of millennials. Both of them have significantly beaten the broader market since their inception but have failed to see much interest from investors.
The Global X Millennials Thematic ETF (MILN - Free Report) focuses on US companies that are likely to benefit from rising spending power of the millennial generation. Its top holdings include Walt Disney (DIS), PayPal (PYPL - Free Report) , Facebook (FB - Free Report) and Starbucks (SBUX - Free Report) .
The Principal Millennials Index ETF (GENY - Free Report) holds global companies with exposure to the spending and lifestyle activities of the millenails. International companies account for about 47% of the portfolio.
Adidas (ADDYY - Free Report) , Fast Retailing and Lululemon (LULU - Free Report) are among the top holdings.
To learn more about these ETFs, please watch the short video above.
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