New ETFs are popping up all the time. This is partially due to the ease of the process of opening a new product but largely because investors are looking for new ways to play different emerging trends and new technologies. Of course, it's unlikely all the new ETF options will last the test of time; just look at how many ETFs close each year, but that doesn’t stop fund managers from opening new ones like it's going out of style. I guess the thinking is, ‘throw as many things at the board and see what sticks.’
But from an investor's point of view, it's not costing you anything unless you invest in something that fails, and it gives us a lot more options to choose from. So with that in mind, let's take a look at a few of the newer ETFs to hit the market; perhaps you may find one interesting enough to invest in or at least follow.
The first one that I would like to highlight is the iShares Emergent Food and AgTech Multisector ETF (IVEG). The fund will invest in companies that focus on agriculture technology, alternative proteins, nutritional innovation and safety, and sustainable food production and packaging. For the fund to hold a company, it must derive revenues from one of those themes; they also must expect to see profits from one of the themes increase by at least 5% during the coming 5-year period. The fund will have an expense ratio of 0.47%.
From 2010 to 2050, food demand is expected to increase by 56% worldwide. Furthermore, it is believed that Continue reading "New ETFs You May Want To Own"