SKYY’s index can hold companies that are not pure play cloud firms as long as those firms “provide goods and services in support of the cloud computing space.” SKYY can also hold tech conglomerates as long as those companies “indirectly utilize or support the use of cloud computing technology,” according to First Trust.
With the cloud computing industry representing one of the fastest-growing corners of the broader technology arena, SKYY could prove to be a viable bet for long-term investors. Some data points confirm as much.
“Wikibon is predicting enterprise cloud spending is growing at a 16% compound annual growth (CAGR) run rate between 2016 and 2026. The research firm also predicts that by 2022, Amazon Web Services (AWS) will reach $43B in revenue, and be 8.2% of all cloud spending,” according to Forbes.
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