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3 Futuristic Transportation ETFs Hitting New Highs

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3 Futuristic Transportation ETFs Hitting New Highs

Whether it's Tesla Inc (NASDAQ: TSLA), Workhorse Group (NASDAQ: WKHS), Uber (NYSE: UBER) or another company, how the world gets from Point A to Point B is changing.

The exchange-traded funds industry is embracing those changes, offering up an array of funds focusing on electric vehicles, the autonomous vehicle theme or other avenues of next-generation mobility.

Predictably, many of these ETFs are growth-heavy funds, a strategy that's working well, but there are a couple of surprises.

First, self-driving cars are still not a concept, not something end users can get their hands right now. Second, not all of the funds in this niche are excessively allocated to Tesla, indicating there are more ways for investors to profit from the electric/self-driving car boom than just Elon Musk's company.

Here are three funds in this niche that are hitting all-time highs.

SPDR S&P Kensho Smart Mobility ETF (HAIL)

The SPDR S&P Kensho Smart Mobility ETF (NYSE: HAIL) is up almost 58% over the past 90 days. HAIL follows the S&P Kensho Smart Transportation Index, which features exposure to “companies whose products and services are driving innovation behind smart transportation, which includes the areas of autonomous and connected vehicle technology, drones and drone technologies used for commercial and civilian applications, and advanced transportation tracking and transport optimization systems,” according to State Street.

To the tune of 3%, Tesla is one of HAIL's 58 holdings, but the secret sauce here is a 4.52% to high-flying Workhorse, meaning HAIL has one of the largest weights to that stock among all ETFs.

KraneShares Electric Vehicles & Future Mobility ETF (KARS)

Famed for its lineup of China funds, KraneShares has more to offer and the KraneShares Electric Vehicles & Future Mobility ETF (NYSE: KARS) is one of those offerings. KARS is higher by almost 13% year to date, an impressive move considering Tesla isn't on the fund's roster.

What's propelling KARS is a diverse lineup that features broad reach into the EV/self-driving ecosystem, including domestic growth fare, such as Nvidia (NASDAQ: NVDA) and Alphabet (NASDAQ: GOOG).

iShares Self-Driving EV and Tech ETF (IDRV)

The iShares Self-Driving EV and Tech ETF (NYSE: IDRV) is the laggard of this trio with a year-to-date gain of 7%, but its 36.33% jump over the past three months is impressive.

IDRV follows the NYSE FactSet Global Autonomous Driving and Electric Vehicle Index and is the most Tesla-heavy of the funds highlighted here with a 6% weight to that stock.

At its core, IDRV is a growth fund that emphasizes particular theme as it devotes 76% of its lineup to consumer discretionary and technology stocks.

 

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