Here Launches The First-Ever Video Game ETF
Here’s how to rev up your trading consoles for a new player in the ETF game. Read on and get the info.
What Is Purefunds Video Game Tech ETF?
The PureFunds Video Game Tech ETF was launched as the first ETF focused on the video game industry and it is based on the EE Fund Video Game Tech Index consisting of 36 exchange-listed companies across the globe supporting or utilizing the video game industry. Thereby the industry has been on a sharp upward curve as the video game sales surged 8% and therefore the digital game market reached an all-time high of $ 6.1 billion. It was then that the emergence of new computing platforms which include virtual reality headsets is only expected to grow the industry.
Later on, it was in its press release that the announcement of the launch of the fund, PureFunds has stated the list of companies in the fund including the video game software developers, publishers, and distributors gaming platform providers, gaming accessories, as well as large tech and media conglomerate. Here there is the exact list of companies comprising the ETF which is not publicly available and however, the fund managers have said that it included names including those such as Activision Blizzard Inc. (ATVI), Logitech Nintendo, and Nvidia Corp. (NVDA). Thereby the fund has an expense ratio of 0.75% with PureFunds partnering in the venture including Factor Advisors and ISE ETF Ventures.
Subsequently, as PureFunds launched several thematic ETFs in recent times, it had launched an ETF tracking fortunes of companies involved in the emerging mobile payments industry as also launched an ETF focused on the drone industry. Thereafter the PureFunds Drone Economy Strategy ETF tracks the Reality Shares Drone Index comprising 47 companies involved in the drone industry. Therefore the top three holdings in the ETF are those of Aerovironment Inc. (AVAV) (12.4%), Parrot S.A. (PARRO.PA) (9.1%), and Boeing Co. (BA) (4.6%).
How Has Technology Evolved?
Along with this comes a surge of technology-based thematic funds targeted at different sectors, of the technology economy as an example, Ark Investments has a fund called Web x.o tracking the fortunes of a diverse range of new economy companies in the technology industry .it was then as detailed on its website these companies are working in diverse areas of the tech industry including big data, cryptocurrencies, and the sharing economy. Here there is another reason which is the returns from such funds that haven’t always been up to par. As an example, PureFunds Cyber Security ETF (HACK) was the fastest-growing ETF as it was launched amidst news of a growing market for cybersecurity companies whereas it was however down by 19.13%
While technology is a growth sector thereby investing and growing crops of ETFs have been, merged to leverage the growth prospects with the video game industry set to boom in the coming years as well as the PureFunds ETF intends to ride the boom with the passively managed fund.
The Reasons Why a Bitcoin ETF May Arrive Soon
In the current scenario, it has been known that those Winklevoss brothers whose second attempt at launching the Bitcoin linked exchange-traded fund has fallen apart when the US Securities and Exchange Commission rejected it. While a second application was revised and updated version of the first, it was again turned down as the SEC’s decision was with many in cryptocurrency space lamented what they saw as the failure of one of the best-positioned projects to open up the doors to the Bitcoin ETF product. Hereby the SEC determined that space is simply too volatile and subject to manipulation to permit a product like this at any time. Nonetheless, it was then the report by Bitcoinist suggesting several reasons why proponents of Bitcoin ETFs should necessarily remain optimistic that these vehicles may reach investors sooner rather than later.
What is the CBOE Proposal
It was merely weeks ago that CBOE has filed a proposed rule change to list and trade shares of its so-called Bitcoin Trust, the Van Eyck Investment and SolidX’s Bitcoin ETF. Here the representatives have launched a heavy firepower campaign in support of the project, as it may be paying off suggested by a recent report by the Bitcoin Exchange Guide suggesting that a credible source suggested that there is a near certainty that the CBOE project will be approved.
What Are The Custodial Services
To be observed is whether it comes as Bitcoin and the broader cryptocurrency space have grown, more and more custodial services have become available as Coinbase announced plans earlier this summer offering one such service as did the Swiss Stock Exchange with custodial services being key to courting institutional investors, raising the profile of cryptocurrencies and expanding the investor base beyond HODLers.
Continuing Clarification on Regulatory Status
To explain there are of course many such regulatory questions to be answered when it comes to Bitcoin, and the government’s position on cryptocurrency has become dramatically more clear signing point to continued clarification going forward and in turn, helping alleviate the SEC's concerns about price manipulation and volatility. It is therefore in this process that Bitcoin could become more a viable connection for the ETF world as well.