Eve Capital hopes to capitalize on the $94.4 billion augmented reality and virtual reality market after changing the index for WEAR – the Wearable ETF (CBOE: WEAR) to the EQM Tactile AR/VR Virtual Technology Index. This led to a subsequent name change to the Tactile Analytics AR/VR Virtual Technologies Fund (CBOE: ARVR) on July 9.
With the name and index change comes a focus of capitalizing on a global augmented reality and virtual reality market that expects to reach $94.4 billion by the year 2023, per a report released by Research and Markets.
“Wearable technology is something that we still believe in. We just happen to believe that the augmented and virtual technology subset of wearables is the most exciting and could have a larger market impact going forward.” said Bryce Tillery, Managing Partner of Eve Capital. “We are also pleased to be working with EQM Indexes LLC, our index partner, and Tactile Analytics, the research firm covering this fast growing asset class.”
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ARVR will invest at least 80% of its total assets in securities of the EQM Tactile AR/VR Virtual Technology Index. The index it tracks is designed to measure the performance of companies listed on public stock exchanges globally that are expected to benefit from the increased adoption of augmented reality and virtual reality (AR/VR) technologies.
Companies included in the index can be found along the entire AR/VR supply chain. This includes, but is not limited to, companies that manufacture electronic components used to construct AR/VR hardware, companies that develop the software that utilize the hardware, companies that develop content for use on AR/VR hardware, and companies that manage content distribution platforms or deploy AR/VR hardware/software as part of a customer solution or offering.
“With the increasing proliferation of AR and VR technology, we expect many markets and industries to be disrupted, creating substantial economic opportunity. Those companies that are investing in AR/VR, such as Facebook, HTC and start-ups like Magic Leap, stand to benefit from the wave of change ahead. We expect such technologies to fundamentally change the way society interacts with the digital universe, forever changing fields such as healthcare, engineering, and education.” said Tillery.
ARVR continues its sponsorship by Dallas based Eve Capital. This index change provided a unique opportunity that all involved parties believe will serve in the best interest of WEAR shareholders, including a new name and branding to help highlight what the sponsor believes is the most exciting aspect of wearable technology.
“Whereas AR/VR technology used to be the domain of the gamers and early adopters alone, ordinary consumers and businesses are starting to realize the value that this technology offers. We continue to see more and more use cases from the business world such as employing the technology to improve customer experiences or improve manufacturing productivity. This suggests that the technology has real potential and it’s something investors should pay attention to.” said Tillery.
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