Even though July is almost here, it’s not too late to reap the benefits of summer travel investments.
New data from AAA projects that over 70 million people are expected to travel during the July 4 week. These new findings represent a jump of 5% compared to 2023’s numbers. And that’s a whopping 8% gain from 2019’s July 4 season.
“With summer vacations in full swing and the flexibility of remote work, more Americans are taking extended trips around Independence Day,” noted Paula Twidale, AAA travel senior vice president. “We anticipate this July 4 week will be the busiest ever, with an additional 5.7 million people traveling compared to 2019.”
As more folks hop onto planes and hit the road, investors can use a targeted strategy to tap into potential returns on travel spending. One such strategy is the ALPS Global Travel Beneficiaries ETF (JRNY).
Diverse Allocations
JRNY provides exposure to a wide variety of companies that benefit from global travel. This includes booking agencies, airlines, hotels, casinos, and cruise lines, amid others. With a diverse sector allocation, the fund’s portfolio can help access potential value return from companies some investor may be overlooking.
Among the fund’s largest holdings are companies such as Booking Holdings, Airbnb, and Hilton. All three of these companies have displayed positive gains over the last month. And they could be poised for more momentum as the travel season progresses.
JRNY has been able to provide investors with strong annual returns. As of May 31, 2024, the ETF was up 12.17% over the last four months.
AAA’s latest data illuminates how Americans remain hungry for travel and vacationing. It’s a trend that could persist in the coming months. By investing in JRNY ahead of the curve, investors could lock in potential gains from companies across a variety of related sectors.
vettafi.com is owned by VettaFi LLC (“VettaFi”). VettaFi is the index provider for JRNY, for which it receives an index licensing fee. However, JRNY is not issued, sponsored, endorsed, or sold by VettaFi, and VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of JRNY.
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