There are a myriad of excellent secular growth trend investors can choose from. However, in this article, I will discuss one exchange traded fund (ETF) that tracks a secular trend I think has flown under the radar for a long time. I believe this trend is poised to take off in the years to come.
Digitization is a theme which has been broadly covered. Many investors may have direct or indirect exposure to this secular trend through various technology investments. That said, with digitization comes a variety of risks. I’m going to discuss one ETF that tracks companies in the business of providing cybersecurity solutions to tech companies to keep the lights on and drive this larger trend from behind the scenes.
The Evolve Cyber Security Index ETF (TSX:CYBR) is one of my top picks for investors interested in this trend. Headlines of serious data breaches and identity theft episodes are only likely to increase over time.
Data consolidation and aggregation are picking up at a faster pace. Investing in the companies that are working to limit this risk for big technology firms is a great way to gain long-term leverage to technology in general, with less operational risk than owning the underlying large tech companies.
That said, market risk always exists. This ETF is certainly not cheap today, at these levels. Buying on dips may be the best move at this point in time.
Invest wisely, my friends.
