While contending with the various challenges faced by most big companies in 2020, Apple has seen its share of highs this year. In addition to being named the world’s most valuable public company, the recent rally for the tech giant has paved the way for further success with the unveiling of the 5G-ready iPhone 12. Not only will this latest model have a chance to help boost 5G elements, but the push to use 100% recycled rare earth elements could bode well for other sectors.
As discussed on CNBC, bringing in Verizon CEO Hans Vestberg to this Apple announcement event helped legitimize the 5G incorporation to the iPhone, even if the full potential has not quite been reached. That said, there are applications where this advent will eventually apply, and now the device is fully capable of embracing that future. That in mind, it’s also about making that relatable to the user, which will go a long way in inspiring investors to take a closer look at what that impact could mean.
In regards to 5G ETFs, as explained previously, the new iPhones will be prepared to access high-speed networks from Verizon, AT&T, and T-Mobile to achieve faster download speeds and stronger wireless connections. ETFs such as the First Trust Indxx NextG ETF (NXTG) have been designed to take advantage of these developments. That said, while the U.S. is primarily still in transition mode when it comes to 5G, other countries with 5G networks utilize what’s called “mid-band frequency.”
All of that in mind, many investors and providers looking to take advantage of the 5G wave can rely on funds such as the Pacer Benchmark Data & Infrastructure Real Estate SCTR ETF (NYSEArca: SRVR) or the Defiance 5G Next Gen Connectivity ETF (NYSEArca: FIVG) to offer opportunities for diversification in a portfolio.
Additionally, the emphasis on Apple’s carbon neutral offices, data centers, and retail stores, along with the use of recycled rare earth elements to make their product is a good play towards the ever-popular ESG trend, let alone related ETFs. For example, the VanEck Vectors Rare Earth/Strategic Metals ETF (NYSEArca: REMX) comprises global companies involved in producing, refining, and recycling rare earth and strategic metals and minerals, which could see something in what Apple is going for.
Keeping investors in mind, those looking to use ETFs to trade Apple, the Technology Select Sector SPDR Fund (XLK), the Fidelity MSCI Information Technology Index ETF (FTEC), and the iShares Global Tech ETF (IXN) all have large allocations of the major tech giant.
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