Online Retail ETF Jumps to $500 Million in Assets

Just over two years after coming to market, the Amplify Online Retail ETF (NasdaqGM: IBUY) continues proving it is a successful avenue for investors to tap the new wave of retailing. Earlier this week, Amplify ETFs said IBUY topped $500 million in assets under management.

“IBUY began trading on April 20, 2016 and seeks to replicate the price performance of the EQM Online Retail Index (IBUYXT). The rules-based index tracks a globally diverse basket of companies that fall into three online retail categories — marketplace, travel and merchants — all of which must generate 70% of revenue from online or virtual sales,” according to Amplify ETFs.

The ETF features a mix of large-, mid- and small-cap stocks though large- and mid-cap names combine for 81% of its weight. Regardless of market capitalization, data suggest online retail is booming and will continue doing so in the years ahead.

An Impressive Run for ‘IBUY’

IBUY’s ascent to $500 million in assets has happened in rapid fashion. In February, the ETF topped $200 million in AUM for the first time before doubling to $400 million in June.

Online retail sales continue to gain ground over traditional retailers, rising over 2000% since 1999. The amount of online buyers around the world estimated to increase 57% from 2014 to 2019; Global online retail sales $1.5 trillion in 2015, expected to rise to $4.1 trillion in 2020.