More and more, as the concept of disruption becomes part of societal standards, businesses who fail to adopt the latest and greatest technology face the possibility of getting left behind. This “adapt for die” mentality certainly puts investors at risk moving forward.
“I think the biggest forward-facing risk for all investors is technological disruption,” said Will Rhind, founder and CEO of independent exchange-traded fund issuer GraniteShares.
“People are desperate for growth,” Rhind added. “You see that in the [U.S.-China] trade talks and people yearning for something to get done so that we can get back to a situation where markets are growing or economies are growing again.”
Rhind’s comments come following an Accenture analysis that found “more than 3,600 companies with annual revenues of at least $100 million in 82 countries found that 63% of them face high levels of disruption, and 44% show severe signs of susceptibility to future disruption.”
Driving More Gains in Disruption
One of the areas poised for more disruption is the autonomous driving space. The disruptive exchange-traded fund (ETF) space continues to grow and investors can now take advantage of self-driving, electric vehicle technology via the iShares Self-Driving EV and Tech ETF (NYSEArca: IDRV).
Per the iShares website, the fund will provide prospective investors with:
- Access to companies at the forefront of self-driving and electric vehicle (EV) innovation
- Exposure to global stocks along the full value chain of self-driving and EV industries, across sectors and geographies
- Seek long-term growth with access to companies that can shape the global economic future
IDRV seeks to track the investment results of an index composed of developed and emerging market companies that may benefit from growth and innovation in and around electric vehicles, battery technologies and autonomous driving technologies. Specifically, it tracks the NYSE FactSet Global Autonomous Driving and Electric Vehicle Index (the “Underlying Index”), which measures the performance of equity securities issued by companies that produce autonomous driving vehicles, electric vehicles, batteries for electric vehicles, or technologies related to such products.
IDRV will invest in domestic and international markets per its prospectus, which states that, “the Underlying Index is composed of equity securities of companies listed in one of 43 developed or emerging market countries that derive a certain specified percentage of their revenue from selected autonomous or electric vehicle-related industries, as defined by IDI.”
For more market trends, visit ETF Trends.