While the 2017 holiday season may have brought some relief, brick-and-mortar retailers are still under immense pressure. The continued rapid growth of e-commerce points to a radical shift in consumer buying habits that is transforming the retail landscape – shoppers are moving out of the aisles and onto the Internet. Key indicators suggest the resulting decline of bricks-and-mortar retail could continue for years. For investors, retail disruption creates opportunity.
On the upcoming webcast this Thursday, Jan. 18, Did Retailers Get What They Wanted for the Holidays? The 2018 Outlook for Bricks-and-Mortar Retail, Brian Tunick, Managing Director of RBC Capital Markets, and Simeon Hyman, Head of Investment Strategy for ProShares, will discuss the soaring growth of e-commerce, the decline of traditional retail, and the outlook for 2018 and beyond.
In anticipation of the retail disruption opportunity, ProShares recently rolled out the ProShares Decline of the Retail Store ETF (NYSEArca: EMTY) and ProShares Long Online/Short Stores ETF (NYSE Arca: CLIX) to help investors capture the shift in the retail landscape.
The Decline of the Retail Store ETF provides daily short exposure or -1x to the new Solactive-ProShares Bricks and Mortar Retail Store Index, which is comprised of traditional retailers and equally weights components. The fund holds companies that include department stores, supermarkets and sellers of apparel, consumer electronics and home improvement items, such as retailers like Barnes & Noble, The Gap, Macy’s, Kroger and Best Buy, among others.
Meanwhile, the Long Online/Short Stores ETF is a type of long-short strategy and the first ETF to track the potential growth of online companies while benefiting from the decline of bricks and mortar retailers. Specifically, CLIX reflects the new ProShares Long Online/Short Stores Index, which combines a 100% long portfolio of on-line and non-traditional retailers with a 50% short position in bricks and mortar retailers.
Financial advisors who are interested in learning more about the retail segment can register for the Thursday, January 18 webcast here.