Should You Invest in COVID Themed ETFs?

There’s a lot of investor interest in companies that are working to develop coronavirus vaccines and therapeutics but picking a virus winner is not easy.

Video length 00:08:14

The ETF industry remains quite resilient despite the pandemic, with more than 150 new ETF launches in 2020. In this video, we focus on three very innovative virus-themed ETFs that made their debut recently.

We all are waiting for a breakthrough that will allow a return to normal, and there have been some very encouraging developments in the global race for coronavirus vaccines and treatments. There’s a lot of investor interest in companies that are working to develop coronavirus vaccines and therapeutics but picking a virus winner is not easy.

The ETFMG Treatments, Testing And Advancements ETF (GERM - Free Report) provides a diversified exposure to many promising biotech companies. Moderna (MRNA - Free Report) and Novavax (NVAX - Free Report) are its top holdings.

The pandemic has accelerated the remote work trend and it may continue even after this crisis.

The Direxion Work From Home ETF (WFH - Free Report) offers exposure to 40 companies that stand to benefit from an increasingly flexible work environment.  Its top holdings include Twilio (TWLO - Free Report), Zoom Video (ZM - Free Report), and Okta (OKTA - Free Report).

The Pacer BioThreat Strategy ETF (VIRS - Free Report) focuses not only on firms involved in the development of vaccines and treatments, but it takes a broader approach to structural trends that are emerging as a result of this pandemic.  Nvidia (NVDA - Free Report) and Amazon (AMZN - Free Report) are its top holdings.

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