FONE does provide ample exposure to growing smartphone use on an international basis as the U.S. accounts for less than 41% of the fund’s country weight. Emerging markets such as Taiwan and South Korea are integral plays in the smartphone business, whether it is through components or handset manufacturing. Overall, emerging markets are about 23% of FONE’s weight. [An Asian ETF Standout]
And it could be emerging markets that drive FONE higher in the future. Developing nations are expected to account for 65% of global smartphone sales this year, according to International Data Corp.
First Trust NASDAQ CEA Smartphone Index Fund
ETF Trends editorial team contributed to this post. Tom Lydon’s clients own shares of Apple and Google.