ETF Ideas for the Fourth Quarter

The Amplify Online Retail ETF (NasdaqGM: IBUY), which began trading April 20, tries to track the performance of the EQM Online Retail Index, which is comprised of global companies that generate at least 70% of revenue from online or virtual sales.

Amplify Investments believes that the companies with significant online retail revenues may be best positioned to capitalize on growth in online retail sales and shoppers, compared to companies with less significant online retail revenues.

Related: ETFs to Follow Growth of Amazon and E-Commerce

“Almost a quarter of XLY’s weight is in media companies such as Comcast Corp. (CMCSA). RTH is much more focused on retailers, from Amazon to Home Depot (HD) to Wal-Mart Stores (WMT) — though it has an odd 10 percent exposure to health care companies. RTH’s composition has resulted in an 8.28 percent to 6.7 percent advantage over XLY in the four fourth quarters since RTH’s inception,” adds US News.

For more information on the consumer sector, visit our consumer discretionary category.