With the coronavirus pandemic lingering, connectivity is more important than ever. Investors can tap into that theme with exchange traded funds, such as the Global X Internet of Things Thematic ETF (NasdaqGM: SNSR).

SNSR targets the Indxx Global Internet of Things Thematic Index. IoT “includes the development and manufacturing of semiconductors and sensors, integrated products and solutions, and applications serving smart grids, smart homes, connected cars, and the industrial internet,” according to Global X.

In the pandemic environment, IoT is increasingly important.

“With the rapid growth of wireless networks, almost any device can become ‘smart’ by embedding data-recording sensors and connectivity-enabling chips,” said Global X analyst Andrew Little in a recent note. “While some critics questioned the value of this in the past, COVID-19 is revealing how IoT technologies can play a part in addressing a variety of today’s global issues.”

SNSR Advantages Coming to Life

SNRS’s index is designed to provide exposure to exchange-listed companies in developed markets that facilitate the Internet of Things industry, including companies involved in wearable technology, home automation, connected automotive technology, sensors, networking infrastructure/software, smart metering, and energy control devices.

Amid the Covid-19 pandemic, there’s been a heavier reliance on technology, including the internet of things to facilitate communications amid social distancing and lockdown measures. However, it’s also positively impacting the way medical services are delivered with more advanced technology.

SNSR YTD Performance

SNSR also offers investors leverage to the economic reopening theme.

“Many of the fundamental benefits of IoT directly align with reopening and recovery. Wireless and autonomous technology can help reduce viral transmission,” notes Little. “Data from connected devices can be a useful tool for surveillance and tracking. And IoT systems can help industries operate more seamlessly during times of uncertainty. In the following piece, we explore the powerful IoT use-cases implemented during the COVID-19 pandemic and how they might drive the theme’s growth moving forward.”

With tens of billions of devices around the world already connected and many more set to join the fray in the coming years, the seeds of exponential growth for the IoT market and perhaps SNSR are being sewn today.

“The Internet of Things is helping fight the impacts of the COVID-19 pandemic, both in terms of public health and business impacts,” writes Little. “Connected wearables and sensor-equipped devices are proving useful in limiting and identifying new infections. Additionally, IoT is a foundational technology for many industries’ digital transformation, and COVID-19 is forcing businesses to accelerate these efforts.”

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The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.