The day after Christmas, shares of Amazon climbed 4% on the heels of what the online retail giant is claiming will be a record holiday shopping season. The 4% rise represents the best day for Amazon’s stock since January 30th, which should put ETF investors on watch for funds that have heavy holdings of the eCommerce powerhouse.
“This holiday season, the number of items that were delivered with Prime Free One-Day and Prime Free Same-Day Delivery nearly quadrupled compared to the same time period last holiday season, making this Amazon’s fastest holiday yet,” the company said.
Per a CNBC report, Amazon “also said that 60 percent more customers shipped items to an Amazon pick-up point, rather than their homes or businesses, compared with last year.
What started as a book retailer has now turned into a global retail powerhouse as Amazon could be the most important company to watch in 2020. As such, investors should be keen on watching ETFs that have the heaviest holdings of Amazon.
It wasn’t an overnight success for Amazon–it took years in the making. The success highlights the notion that good things take time.
Here are 3 ETFs to consider with heavy Amazon holdings:
- Fidelity MSCI Consumer Discretionary Index ETF (FDIS): seeks to provide investment returns that correspond generally to the performance of the MSCI USA IMI Consumer Discretionary Index. The index represents the performance of the consumer discretionary sector in the U.S. equity market.
- Consumer Discret Sel Sect SPDR ETF (NYSEArca: XLY): seeks investment results that correspond to the price and yield performance of publicly traded equity securities of companies in the Consumer Discretionary Select Sector Index. The index includes securities of companies from the following industries: retail; hotels, restaurants and leisure; textiles, apparel and luxury goods; household durables; automobiles; auto components; distributors; leisure products; and diversified consumer services.
- ProShares Online Retail ETF (NYSEArca: ONLN): seeks investment results, before fees and expenses, that track the performance of the ProShares Online Retail Index. The index tracks retailers that principally sell online or through other non-store channels. The index uses a modified market-capitalization weighted approach, is rebalanced monthly and is reconstituted annually. Retailers may include U.S. and non-U.S. companies. To be eligible, retailers must: be classified as an online retailer, an e-commerce retailer, or an internet or direct marketing retailer, according to standard industry classification systems; have a market capitalization of at least $500 million; have a six-month daily average value traded of at least $1 million; and meet other requirements.
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