While much of the economy has recovered, it’s become clear that the global pandemic has accelerated changes that were underway before we’d ever heard of Covid-19. Companies from Microsoft to Twitter to Ford have announced permanent policies supporting, encouraging and even mandating remote work from here on in. At the same time, consumer behavior has changed to an online-centric, curbside pickup and delivery model which will likely remain the default for years. The question is — how are your client portfolios positioned for these new endemic trends?
In the upcoming webcast, Work From Home Forever? A Growing Movement, A Unique Investment, David Mazza, Managing Director, Product, Direxion; and Sylvia Jablonski, Managing Director, Head of Capital Markets & Institutional Strategy Team, Direxion, will discuss how to profit from the new normal at work and at home, position for the acceleration of global consumer trends, and diversify your core equity exposure in new and valuable ways.
Investors can also take a look at the recently launched Direxion Work From Home ETF (WFH).
The Direxion Work From Home ETF offers exposure to companies across four technology pillars, allowing investors to gain exposure to those companies that stand to benefit from an increasingly flexible work environment. The four pillars include Cloud Technologies, Cybersecurity, Online Project and Document Management, and Remote Communications. Companies are selected for inclusion in the index by ARTIS, a proprietary natural language processing algorithm, which uses keywords to evaluate large volumes of publicly available information, such as annual reports, business descriptions, and financial news.
The emerging themes are described as follows:
- Cloud Technologies: Due to the need for data to be securely stored, accessed, and shared remotely, companies offering cloud technology services and on-demand availability to computer systems stand to benefit.
- Cybersecurity: More flexible workspaces open the potential for increased cyber threats, increasing the demand for companies offering cybersecurity systems.
- Online Project and Document Management: Remote work requires applications that enable the management of projects and collaboration across individuals and teams, boosting the need for tools that optimize these processes.
- Remote Communications: With workers in sporadic locations, the need for videoconferencing, instant messaging, and email applications will increase so that coworkers can be connected virtually when separated physically.
Financial advisors who are interested in investment ideas for the current environment can register for the Thursday, November 19 webcast here.