Technology and consumer discretionary are the two best-performing sectors this year, and with election headwinds in the rearview mirror, there’s a buoyant outlook for healthcare stocks in 2021. But investors don’t have to pick and choose among those groups because the Entrepreneur 30 Fund (NYSEArca: ENTR) provides exposure to all three.
The Entrepreneur 30 Fund tries to reflect the performance of the Entrepreneur 30 Index, which is comprised of 30 U.S. companies with the highest market capitalizations and composite scores based on six criteria referred to as entrepreneurial standards. ENTR primarily invests in US Large Cap companies that meet the thresholds embedded in their proprietary Entrepreneur Factor (EF).
Covid-19 will continue to force us to adapt to a new normal where technology plays an even larger part in our lives as social distancing measures continue amid the pandemic. As such, exchange traded fund investors looking for either short- or long-term opportunities can keep riding the technology wave with the ENTR ETF.
ENTR: Emerging Trends and Prescient Themes
ENTR is also positioned to capitalize on emerging trends, such as e-commerce and working from home.
With the U.S. economy showing some signs of life and with the holiday shopping season here, considering consumer cyclical stocks over the near-term could be a winning idea. E-commerce, an industry to which ENTR features robust exposure, is one factor supporting consumer spending this year.
In addition to its organic growth exposure, ENTR offers investors considerable leverage to positive developments on the coronavirus vaccine front, an important hallmark as a vaccine could come to market over the near-term.
Investors have been closely watching updates on a number of potential vaccine candidates, along with the start of global shipments, as drug-makers seek emergency regulatory approvals to combat the global pandemic that has ravaged economies. Pfizer Inc. and Germany’s BioNTech SE have sought emergency approval of their vaccine candidate from the European regulator where major cities have already implemented shutdown measures to combat a second wave of infections, Reuters reports. Rival Moderna Inc. has also applied for emergency approval from the European regulator.
Within ENTR, factors screened include management, which requires set factors regarding a company’s management be met for a company to be included, such as the turnover among the top five executives within a company as compared to other companies in the broader universe.
For more on entrepreneurial strategies, visit our Entrepreneur ETF Channel.
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.