Summertime Travel ETF? | ETF Trends

The best season of the year is here and everyone is ready to take their winter clothes off and feel the sun warm their skin. The kids are out of school and now it’s time to plan the family summer vacation. With so many travelers around the world at this time, why not a travel exchange traded fund (ETF)? So far, the closest we could find is PowerShares Dynamic Leisure and Entertainment (PEJ), up 5% year-to-date and holds hotels such as Hilton Hotels (HLT) and the all-time favorite, Walt Disney Co. (DIS). McDonald’s (MCD) is thrown in there for your eating-on-the-road meals and CBS Corp. (CBS), for the hotel down-time. Other companies that may come to mind while planning a get a way include Expedia (EXPE), Hertz (HTZ), and Priceline (PCLN). 

When you think about going to your destination, you look at different transportation options.  There is the iShares Dow Jones Transportation Average(IYT), but it is comprised of companies such as CSX Corp. (CSX) and FedEx (FDX) – not what you think of as a first class ride to the beach!  IYT is up 13% year-to-date.

So why go through all the hassle of planning and accommodating? Simply put – summer reminds everyone of that kid in us. The carefree days of sunblock, surfwax, bonfires, swimming and long evenings. No worries, no hassles, no office chair, no deadlines. So what if it’s only for a few weeks, it’s worth it. Have a fun summer!

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.