Regardless of how the industry takes shape in the near and long term, exchange-traded funds like the ETFMG Video Game Tech ETF (NYSEArca: GAMR) are quick to recognize the opportunity. GAMR, which debuted in March 2016, follows the EEFund Video Game Tech Index and holds 58 securities—over 71 percent of its holdings are a mix of home entertainment software, technology hardware and storage and internet software providers.
Competitive video gaming, or esports, is poised to make a strong push for profits, particularly in the international markets.
“As consumer trends grow in Asia, in particular, we can see the continued growth of the gaming industry,” said Peter Gillespie, managing director and emerging markets portfolio manager at Lazard Asset Management. “We think local companies understand local markets better and would be able to take advantage of local preferences and become major game developers in their own right.”
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