Online Retail vs Bricks-and-Mortar | ETF Trends

As the decline of brick-and-mortar stores continues to make headlines, online retail growth is booming around the world. Consumer spending is now happening online more than ever before as traditional retailers continue to close stores and declare bankruptcy at a rapid rate. With the change in spending habits comes plenty of opportunity for investors who are tapped into the best investment strategies to play this ongoing trend in the market.

In the upcoming Disruptive ETF Virtual Summit, an online virtual conference hosted by ETF Trends on Oct. 18, 2018, Christian Magoon, CEO of Amplify ETFs; Simeon Hyman, Global Investment Strategist, Head of Investment Strategy Group at ProShares; and Sylvia Jablonski, Managing Director, Co-Head of the Capital Markets & Institutional Strategy Team for Direxion, will provide an analysis of consumer spending and changing buying habits, delve into the biggest online retail opportunities in the U.S. and abroad, and cover ETF plays that bet against brick-and-mortar stores.

For example, the Amplify Online Retail ETF (NasdaqGM: IBUY) is comprised of global companies that generate at least 70% of revenue from online or virtual sales.

With the rise of online retailers or e-commerce, many retail stores are seeing less foot traffic. The ProShares Decline of the Retail Store ETF (NYSEArca: EMTY) and ProShares Long Online/Short Stores ETF (NYSEArca: CLIX) both take a short position in brick-and-mortar retail stores to capitalize on weakness in traditional stores. Meanwhile, the ProShares Online Retail ETF (NYSEArca: ONLN) takes on a long position in online retailers.

Investors can still capitalize on growth in the retail segment, especially with the holiday shopping season coming up, through a leveraged sector-specific play like the Direxion Daily Retail Bull 3X ETF (NYSEArca: RETL). Additionally, the Direxion Daily CSI China Internet Index Bull 2X Shares (NYSEArca: CWEB) could help investors capitalize on the growth opportunity in Chinese internet companies, many of which include e-commerce players.

To get more insight on disruptive ETFs, sign up for the Disruptive ETF Virtual Summit set to take place this fall.