Holiday Liquor Sales Keep ETFs Lively
December 19th at 3:00pm by Tom Lydon
The one business sector that could really use a drink during the holiday season is the liquor industry and the exchange traded funds (ETFs) that hold these companies. The six weeks between Thanksgiving and New Years is crunch time for liquor companies. A huge chunk of the industry’s yearly revenue is generated during this time, according to Nick Passmore of BusinessWeek. Two factors play a major role: gift-giving and stocking the bar for holiday events.
PowerShares Dynamic Food and Beverage (PBJ) and the new FocusShares SINdex ETF (PUF) include some alcohol companies, such as Molson Coors (TAP) and Diageo (DEO). Lucky for these ETFs, we are now experiencing a golden age of cocktails, and a lot of the growth is driven by this trend.
