The technology-heavy NASDAQ-100 Index is higher by more than 5% over the past month and with a spate of big earnings reports expected in the coming days, the technology sector and its relevant exchange traded funds could be poised for more near-term upside.
Recent ebullience towards tech ETFs is represents a rapid reversal of fortune. Just a few weeks ago, investors were worried about the impact Brexit could have on technology, the S&P 500’s largest sector allocation. Speculation that Great Britain’s decision to depart the European Union could weigh on technology stocks comes just a few weeks after chip stocks and ETFs started showing signs of leadership.
Exchange traded fund investors who are interested in tapping into the big growth names from the technology space have a number of broad and focused sector-specific ETF options to choose from. The Vanguard Information Technology ETF (NYSEArca: VGT) is a popular, cost-efficient avenue for investors looking for technology exposure via ETFs. Additionally, VGT has one of the largest weights to Apple Inc. (NasdaqGS: AAPL) among all ETFs.
Earlier this year, Apple (NasdaqGS: AAPL) ended a 13-year earnings winning streak and reported its first ever decline in iPhone sales. Along with Facebook (NasdaqGS: FB) and Google parent Alphabet (NasdaqGS: GOOG), both of which are also major holdings in VGT, Apple reports earnings next week.[related_stories]