However, even as LinkedIn has lost almost 12% in the past month, SOCL has gotten support from other holdings, though Facebook is not on that list. Pandora (NYSE: P) and Groupon (NasdaqGS: GRPN) are each up at least 22%. That pair combines for almost 11% of the ETF’s weight.
There are risks. SOCL is showing signs of vulnerability to the recent retrenchment in shares of Facebook and LinkedIn. That is to be expected when those two stocks represent almost 17% of the ETF’s weight. Additionally, SOCL has a beta of 2.1 against the S&P 500, according to Global X data. That is a good thing if risk is in style, but not so much in a risk-off environment.
Global X Social Media Index ETF
ETF Trends editorial team contributed to this report.
Tom Lydon’s clients own FB and QQQ.