ETF Trends
ETF Trends

Strong quarterly reports from software companies could give a boost to the software exchange traded funds (ETFs). Companies such as SAP (SAP), Microsoft (MSFT) and Citrix (CTXS) announced higher earnings, reports Trang Ho for Investor’s Business Daily. There are a few ETFs that allow investors to download these earnings to their portfolio:

  • Software HOLDRs (SWH) – up 5.4% year-to-date; there are 13 companies in this ETF, including Microsoft at 22%, SAP at 20% and Adobe (ADBE) at 13%
  • iShares S&P GSTI Software Index (IGV) up 5.4% for the year; broader based with 40 holdings including Microsoft 8%; Oracle (ORCL) 8% and Symantec (SYMC) at 7%; IGV includes video game developers as well
  • PowerShares Dynamic Software Portfolio (PSJ) up 2.3% this year; PSJ concentrates on mid-cap companies in its 30 holdings; top holdings include Fiserv (FISV) with 5%, Oracle 5% and Cadence Design Systems (CDNS)

Softwareetfchart

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.