As technology moves at an ever faster pace, there is an expanding and wide-ranging palette of ETFs that fit the needs of investors looking for a particular company or sector to park their capital. One of the latest ETF offerings comes from Global X, and looks to capture the upside of companies in the rapidly evolving cloud-based storage realm: Global X’s Cloud Computing ETF (CLOU).

According to the company, “The Global X Cloud Computing ETF (CLOU) seeks to invest in companies positioned to benefit from the increased adoption of cloud computing technology, including companies whose principal business is in offering computing Software-as-a-Service (SaaS), Platform-as-a-Service (PaaS), Infrastructure-as-a-Service (IaaS), managed server storage space and data center real estate investment trusts, and/or cloud and edge computing infrastructure and hardware.”

The objective of the fund is to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the Indxx Global Cloud Computing Index, which tracks the performance of companies that are in the Cloud Computing Industry. The Cloud Computing Industry is involved in the delivery of computing services servers, storage, databases, networking, software, analytics and more over the Internet which is referred to as ‘The Cloud’.

Most investors are familiar with the cloud, as it is likely the enigmatic space they turn to when it comes time to store photos, music, and other keepsakes when it is either inconvenient or space is limited to store such items on a physical hard drive.

While definitions for the cloud can seem a bit nebulous, it’s basically a term used to describe a global network of servers, each with a unique function.

According to Microsoft, “The cloud is not a physical entity, but instead is a vast network of remote servers around the globe which are hooked together and meant to operate as a single ecosystem. These servers are designed to either store and manage data, run applications, or deliver content or a service such as streaming videos, web mail, office productivity software, or social media. Instead of accessing files and data from a local or personal computer, you are accessing them online from any Internet-capable device—the information will be available anywhere you go and anytime you need it.”

Where the Global X’s ETF stands out is that CLOU enables investors to access high growth potential through companies that are positioned to benefit from the increased adoption of cloud computing technology. CLOU’s composition transcends classic sector, industry, and geographic classifications by tracking an emerging theme. Thus, in a single trade, CLOU delivers access to dozens of companies with high exposure to the cloud computing theme.

“With cloud computing, we’re witnessing a wide-ranging disruption of traditional IT infrastructure,” said Michael Hoffmann, research analyst at Global X. “The substantial increases in efficiency and power accessible through cloud-based technology is the backbone for enterprise IT, social media, and streaming platforms, and should continue to support the development of the most exciting technologies of our time, like artificial intelligence and the Internet of Things. We’re thrilled to offer investors and clients a tool like CLOU to access this theme, and we’re excited to continue to watch this space evolve.”

For more thematic investing ideas, visit our Thematic Investing Channel.

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