As HACK matures and demand for cyber security products and services booms, the case for the ETF becomes more compelling. That includes the ETF’s credibility as an e-commerce play.
“We see a 16.8% compound annualized growth rate (CAGR) in Cyber Monday sales from 2005 to 2015. This year’s growth will only add to that total CAGR,” reports ETF Daily News. “Given the convenience, deep retailer discounts, and growing comfort level of consumers willing to shop online, I see this as a growth trend that’s only going to get bigger and bigger in the years to come.”
The technology sector and the relevant exchange traded funds have been recently been key contributors in helping the broader market ascend to new highs. Technology is the largest sector allocation in the S&P 500.
HACK benchmarks to the ISE Cyber Security Index, “which tracks the performance of companies actively engaged in providing services for cyber security and for which cyber security business activities are a key driver of their business model. These cyber security services are designed to protect computer hardware, software, networks and data from unauthorized access, vulnerabilities, attacks and other security breaches,” according to PureFunds.
“Of course, with the continued growth of online shopping comes the continued threat of cyber-crime, and that means retailers and all kinds of companies with databases of customer information must beef up their defenses against cyber-attacks, and against what I call ‘Hacktivism,’” according to ETF Daily News.
For more information on the tech sector, visit our technology category.