fbpx
QQQ
+ 1.73
340.90
+ 0.5%
DIA
+ 5.77
327.19
+ 1.73%
SPY
+ 5.82
409.10
+ 1.4%
TLT
-2.44
148.17
-1.67%
GLD
+ 2.00
162.93
+ 1.21%

Millennials Are Missing Out On Their Own ETF

by
May 28, 2018 9:32 am
Share to Linkedin Share to Twitter Share to Facebook Share to Print License More

Millennials are a priority demographic for scores of industries, including Wall Street. There are even exchange-traded funds targeting those born between the years 1980 and 2000.

The Global X Millennials Thematic ETF (NASDAQ:MILN) debuted just over two years. MILN “seeks to invest in companies that have a high likelihood of benefiting from the rising spending power and unique preferences of the U.S. Millennial generation (birth years ranging from 1980-2000),” according to Global X.

What Happened

MILN definitely fits the bill as a “niche ETF.” Those funds are often criticized by some market observers for having excessively narrow areas of focus. Those criticisms often overlook an important element – some niche ETFs deliver impressive returns.

Over the past two years, MILN is up just over 40 percent while the S&P 500 is higher by about 30 percent. The fund is sector agnostic.

“MILN enables investors to access high growth potential through companies at the leading edge of a long-term, structural demographic trend affecting multiple sectors of the economy,” said Global X.

Why It's Important

By some indications, millennials are missing out on the ETF dedicated to them. MILN is up 8.5 percent year-to-date compared to 1.2 percent for the S&P 500. The millennial ETF also an hit a record high on May 24, one of just eight ETFs to do so.

However, MILN has just under $20 million in assets under management. That doesn't mean the fund is in imminent danger of closing, but that's a low number for an ETF that's over two years old and one that indicates investors are not yet nibbling at a fund dedicated to millennials.

What's Next

Top 10 holdings in MILN include Amazon.com Inc. (NASDAQ:AMZN), Netflix, Inc. (NASDAQ:NFLX) and Apple Inc. (NASDAQ:AAPL).

Of MILN's top nine industry exposures, eight dwell in the consumer discretionary and technology sectors, giving the Global X ETF the feel of a growth fund.

MILN charges 0.50 percent per year, or $50 on a $10,000 investment.

Related Links:

A Quality Idea

Folks Love This Vanguard ETF

For the latest in financial news, exclusive stories, memes follow Benzinga on Twitter, Facebook & Instagram. For the best interviews, stock market talk & videos, subscribe to our YouTube channel.


Related Articles

Why Apple Stock Looks Ready To Break Out In The Weeks Ahead

Apple Inc. (NASDAQ: AAPL) shares were trading higher Thursday after the Federal Reserve held its rates constant but raised its inflation expectations for the years 2021-2023. Seven Fed officials expect increases in rates in 2022, and 13 officials expect rate increases in 2023. read more

Why Apple Shares Are Moving Today

Apple Inc (NASDAQ: AAPL) shares are trading higher by 1.4% at $132 after the Federal Reserve held rates constant but raised its inflation expectations for 2021-2023. Seven Fed officials expect rate increases in 2022, while 13 expect rate increases in 2023. read more

Netflix, Apple And Facebook Lead The QQQ Higher Monday

U.S. indices were trading lower for much of the day before recovering into the close as investors await this week's Fed meeting, which is expected to begin on Tuesday. read more

Chip Shortage Bringing Record Business For Supply-Chain Intermediaries Avnet, Arrow Electronics: WSJ

The ongoing global semiconductor shortage is boosting business opportunities for semiconductor industry intermediaries, or authorized distributors, as they are able to source parts faster, according to the WSJ report. read more