Zacks Analyst Blog Highlights: BKCH, DAPP, VFIN, BITQ, and BITS
For immediate release
Chicago, IL – January 13, 2022 – Zacks.com announces the list of stocks featured in the analyst blog. Every day, Zacks Equity Research analysts discuss the latest news and events impacting stocks and financial markets. Stocks recently featured in the blog include: Global X Blockchain ETF BKCH, VanEck Vectors Digital Transformation ETF DAPP, Simplify Volt Fintech Disruption ETF VFIN, Bitwise Crypto Industry Innovators ETF BITQ, and Blockchain & Bitcoin Strategy ETF BITS.
Here are highlights from Wednesday’s analyst blog:
5 ETFs making the most of the tech rebound
The Nasdaq Composite Index made a nice comeback after last week’s selloff that wiped about $1.1 trillion off the index’s value. Most of the rally was driven by tech stocks which gained momentum on testimony from Federal Reserve Chairman Jerome Powell.
Thus, some ETFs gained more than 5% on the tech rally. These include Global X Blockchain ETF, VanEck Vectors Digital Transformation ETF, Simplify Volt Fintech Disruption ETF, ETFs Bitwise Crypto Industry Innovators and Blockchain and Bitcoin Strategy ETFs. These funds seem to be excellent choices for playing on the rebound in the tech sector.
The testimony revealed no surprises and pointed to Jerome Powell’s likely confirmation for a second term. Powell sounded less hawkish than expected and painted a soft landing picture for the economy. He assured investors that the central bank’s tightening plans, which include higher interest rates and a reduction in its assets, were necessary to maintain economic expansion.
Additionally, the outlook for the tech sector remains bullish given the global digital transition that has accelerated e-commerce for everything from remote work to entertainment and shopping. The rapid adoption of cloud computing, big data, Internet of Things, wearables, VR headsets, drones, virtual reality, artificial intelligence, machine learning, communication digital technology and 5G technology should continue to drive the sector forward (read: The 5 most popular ETFs to start 2022).
At a time of tight policies, tech seems to be one of the safest sectors as most companies are sitting on huge amounts of cash. Cash reserves will ensure that these companies do not fall into financial difficulties, even in a rising interest rate environment.
Global X Blockchain ETF
Global X Blockchain ETF seeks to invest in companies positioned to benefit from the increased adoption of blockchain technology, including companies in digital asset mining, blockchain transactions and digital assets, blockchain applications, blockchain and digital asset hardware, and blockchain and digital asset integration. Global X Blockchain ETF holds 25 stocks in its basket with a double-digit allocation to the top three companies.
Global X Blockchain ETF has amassed $103.8 million in its asset base and trades an average daily volume of 195,000 shares. It charges 50 basis points in annual fees.
VanEck Vectors Digital Transformation ETF
VanEck Vectors Digital Transformation ETF aims to provide exposure to companies that are at the forefront of digital asset transformation, such as digital asset exchanges, payment gateways, digital asset mining operations, services software, equipment and technology or services to digital asset operations. , digital asset infrastructure companies or companies facilitating trade through the use of digital assets. The VanEck Vectors Digital Transformation ETF tracks the MVIS Global Digital Assets Equity Index and holds 25 stocks in its basket.
VanEck Vectors Digital Transformation ETF charges 50 basis points in annual fees and trades in an average daily volume of 80,000. DAPP has accumulated $44.6 million in its asset base (read: Why these tech ETFs are great buys).
Simplify Volt Fintech Disruption ETF
Simplify Volt Fintech Disruption ETF seeks to provide exposure to the most disruptive fintech companies that are at the forefront of cashless payments. It aims to invest heavily in Square (SQ) stock and Square call options, as well as Upstart stock and Upstart call options. A modest overlay of put options is designed to help mitigate sharp market slumps.
Simplify Volt Fintech Disruption ETF has accumulated $1.9 million and charges 0.95% annual fees.
ETFs Bitwise Crypto Industry Innovators
Bitwise Crypto Industry Innovators ETF provides exposure to leading companies in the new crypto economy. It tracks the Bitwise Crypto Innovators 30 Index, which measures the performance of companies involved in servicing the cryptocurrency markets, including crypto mining companies, crypto mining equipment vendors, crypto financial services or other financial institutions primarily serving a crypto-related customer base.
Holding 30 stocks in its basket, the Bitwise Crypto Industry Innovators ETF focuses on the top three companies with near double-digit exposure each. It charges investors an annual fee of 85 basis points and trades an average daily volume of 185,000 shares. The Bitwise Crypto Industry Innovators ETF has attracted $112.7 million to its asset base.
Blockchain and Bitcoin Strategy ETFs
Blockchain & Bitcoin Strategy ETF is an actively managed fund that seeks to capture the long-term growth potential of the blockchain and digital asset theme. It takes long positions in US-listed bitcoin futures and invests, directly and indirectly, in companies positioned to benefit from the increased adoption of blockchain technology.
Blockchain & Bitcoin Strategy ETF will not invest in bitcoin directly, and it currently offers exposure to blockchain companies through other ETFs, including affiliate ETF Global X Blockchain (read: Top ETF Stories from the 2021 and 2022 outlook).
Blockchain & Bitcoin Strategy ETF recently debuted in the space and attracted $7.8 million to its asset base in just two months. It charges 65 basis points in annual fees and trades an average daily volume of 13,000 shares.
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Bitcoin, like the internet itself, could change everything
Blockchain and cryptocurrency have sparked one of the most exciting topics of discussion of a generation. Some call it the “Internet of Money” and predict that it could change the way money works forever. If true, it could do to banks what Netflix did to Blockbuster and Amazon did to Sears. Experts agree that we are still in the early stages of this technology and as it develops, it will create several investment opportunities.
Zacks just revealed 3 companies that can help investors capitalize on the explosive profit potential of Bitcoin and other cryptocurrencies with far less volatility than buying them outright.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.