2 Funds Up The Ante As More People Stay Indoors

The coronavirus pandemic may be taking a toll on economic activities around the country but certain businesses still look promising because of the nature of products and services they offer. After all, companies around the globe are asking their employees to work from home and more people are choosing to confine themselves to their residences as the fast-spreading virus continues to affect life and economy.

Therefore, one could take a look at these businesses and the mutual funds that invest in them in a bid to bank in gains given the current gloomy scenario.

Country’s Steps to Prevent the Pandemic

After several states across the United States declared an emergency and locked down public places to avoid gatherings and contain the virus from spreading, people took to stockpiling food and other essential products.

In fact, people panicked more after the World Health Organization declared the novel coronavirus a pandemic last week, raising the number of people quarantining themselves and opting to work from home.

After all, the government also imposed travel bans and advised people not to step out of their homes unless it is absolutely necessary. Additionally, more businesses permitted their employees to work remotely in order to limit public interaction at workplaces.

These measures created new prospects for certain businesses that offer connectivity and entertainment to people within the comforts of their homes. Netflix, Inc. (NFLX) and Facebook, Inc. (FB) are ideal examples on this front. Simply put, these companies could benefit more as the number of people staying indoors surges ahead.

2 Funds to Buy

We have, therefore, selected two mutual funds that invest in companies that are poised to gain from more people staying at home. Both of these funds carry a Zacks Mutual Fund Rank #1 (Strong Buy). In addition, the minimum initial investment for these funds is within $5,000.

We expect these funds to outperform peers in the future. Remember, the goal of the Zacks Mutual Fund Rank is to guide investors to identify potential winners and losers. Unlike most of the fund-rating systems, the Zacks Mutual Fund Rank is not just focused on past performance but also on the likely future success of the fund.

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