This article was written in English on 16.02.2021, translated and published on this site.
That is why today we will be introducing two exchange traded funds (ETFs), one of which is focused on “green”, that will be of interest to our readers who are interested in companies that can benefit from developments in infrastructure projects.
“Investing in the country’s infrastructure can create an immediate boost to the economy, creating new employment areas, but its greatest value is in supporting economic competitiveness in the long run.”
“[Katılımcıların] 79% agree that investments in infrastructure will create new jobs and strengthen the economy. “
“Approximately 70% of greenhouse gas emissions come from infrastructure … To build a better tomorrow, every infrastructure-related incentive must be focused on clean energy — decarbonisation power, heat and transport — and business and government agencies must work together to achieve these goals. should work. “
With that said, let’s take a closer look at our two exchange traded funds today:
1. iShares US Infrastructure ETF
- Current Price: $ 31.82
- 52-Week Range: $ 16.69 – $ 32.18
- Dividend Income: %1,96
- Cost Rate: %0,40
NYSE FactSet US Infrastructure Following its index, IFRA has 133 assets. The top ten names make up about 10% of the fund. Thus, the movements of a single share do not have a serious impact on the price of the ETF.
IFRA has gained about 10% in the past 12 months. More than 6% of these gains were achieved in 2021. Offering a dividend income of 1.97%, the fund’s price-earnings and price-book value ratios for the last 12 months are 21.08 and 2.17, respectively. Investors who believe that infrastructure companies will benefit from new public spending in the US could find a better value around $ 29.
2. First Trust NASDAQ Clean Edge Smart (IS:) Grid Infrastructure Index Fund
- Current Price: $ 87.24
- 52-Week Range: $ 35.96 – $ 87.96
- Dividend Income: %0,63
- Cost Rate: %0,70
As an industry breakdown, the electronic equipment sector has the largest weight with 15.77%, followed by electrical parts and devices (14.48%) and diversified industrial products and services (11.64%). The top 10 companies in the fund account for 60% of assets.
The fund gained 49% in the past year, benefiting from investor interest in clean energy brands, reaching a record high in January. A potential short-term decline towards the $ 82.5 level would offer a better entry point for long-term investors. We expect the profits of the companies in the fund to grow in the upcoming quarters.
Note: If you are interested in the financial products mentioned above but cannot find these products in your area, you may want to contact your brokerage firm or financial planner.
You can contact me for any questions or comments.
Editor’s Note: Not all assets analyzed may not be available in all regional markets. Please contact an authorized brokerage firm or financial advisor to find similar financial instruments that may suit you. This content is for informational purposes only. Before making any investment decision, you should do your own detailed research.