Investing in e-commerce

One of the most significant changes brought about by the Covid-19 was undoubtedly that relating to the use of e-commerce, an economic sector that has grown exponentially in importance in recent years.

The US E-commerce index, after having fallen towards the end of last October towards the important graphic support placed at 1,370 points, began a solid bullish movement that pushed the quotations up to a peak of 1,843 points.

The short-term technical picture has therefore improved, even if the strong overbought recorded by the most reactive oscillators may prevent a further extension (which could push quotations towards 1,900 points) and trigger a physiological pause for consolidation.

A possible correction will however find a first support at 1,720 and a second support in the 1,670-1,675 points area.

From a graphical point of view, however, only a descent below 1,585 could provoke a bearish trend reversal.

The following ETFs can be used to invest in this sector:

L&G E-commerce Logistics, ISIN IE00BF0M6N54. It is an ETF with €175m in assets under management and replicates the Solactive eCommerce Logistics index (an index replicating the performance of companies active in the E-commerce sector). The ETF, which provides a total physical replication of the underlying, adopts an accumulation policy (with dividends being reinvested within the fund). The total expense ratio (TER) is 0.49% per annum.

HANetf EMQQ Emerging Markets Internet & E-commerce, ISIN IE00BFYN8Y92. It is an ETF with €118m in assets under management, which provides for the total physical replication of the underlying (represented by the EMQQ Emerging Markets Internet & E-commerce index, an index that replicates the performance of emerging market companies belonging to the Internet and E-commerce sector) and which adopts an accumulation policy (with dividends being reinvested within the fund). The total expense ratio (TER) is 0.86% per annum.

Global X E-commerce, ISIN IE00BMH5XY61. This ETF has only EUR 1m in assets under management and provides for the total physical replication of the underlying (represented by the Solactive E-commerce index, an index that replicates the performance of companies worldwide active in the E-commerce sector). The ETF adopts an accumulation policy (with dividends being reinvested within the fund). The total expense ratio (TER) is 0.50 per cent per annum.

Disclaimer

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