One of the biggest threats to corporate America is ransomware. The growing possibility of losing access to essential or confidential digital property is a nightmarish scenario for executives as the financial consequences can be enormous.
But it’s not just major companies that are at risk. We are all threatened with the loss of personal data security as hackers develop new ways to exploit networks, software, and the array of evolving technology services. As the world advances to become more digitized, so too do its threats.
These attacks are among several tailwinds for investors in cybersecurity stocks, says Morningstar senior equity analyst Mark Cash. The “heightened threat environment, networking changes due to the pandemic changing how security works, legislation ramping up fines for miscues, spending becoming proactive and commanding a larger portion of IT budget, and these headline-grabbing breaches all help the demand,” he says.
Cybersecurity is a young, quickly evolving industry, so betting on individual stocks can be especially risky. If you’re looking to benefit from this trend, why not consider owning a broad spectrum of cybersecurity stocks through an exchange-traded fund (ETF)?
Today’s trade will highlight an ETF focused on companies that provide protection against cyberattacks.
Palm Beach Group:
Teeka: “Buy this Ticker ASAP” – DONT USE.
With experts projecting gains as high as 1,530% by the end of this year… Anyone who doesn’t buy this ticker will most likely regret it later. Even Forbes has confirmed that when all is said and done, “a new class of millionaires may emerge.” Unfortunately, a recent study shows that only 3% of retirees have invested in this opportunity. That means most people will miss out. Don’t be one of them. Click here and get the ticker now… no strings attached. [REVEAL TICKER]
First Trust NASDAQ CEA Cybersecurity ETF (CIBR)
CIBR tracks an index of companies engaged in the cybersecurity segment of the tech and industrial sectors. To make the cut, a company must be classified as a cybersecurity company by the Consumer Technology Association (CTA) and have a minimum market cap of $250 million. This means it holds software and networking companies but also branches out from the tech sector into more diversified industries like aerospace & defense. This slightly expanded focus is the primary distinction between CIBR and similar funds, most of which have small, tech-dominated portfolios.
To ensure liquidity in the underlying stocks, which is a concern for ETFs that invest in small-cap names, companies must have a minimum free float of 20%. The index then weights stocks based on their underlying liquidity and imposes caps on how large any one security can become. The portfolio includes familiar names like Cisco Systems, Akamai, and NortonLifeLock.
First Trust NASDAQ CEA Cybersecurity ETF (CIBR) Summary
- Weighted Average Market Cap $48.66B
- Price / Earnings Ratio 87.06
- Price / Book Ratio 8.96
- YTD Total Return 22.97%
- Yield 0.2%
- Expense Ratio 0.6%
- Net Assets 4.06B
- Number of Holdings 37
- Top Holdings Palo Alto (PANW), Accenture (ACN), CrowdStrike (CRWD)
Where to invest $1,000 right now...
Before you consider buying CIBR, you'll want to see this.
Investing legend, Keith Kohl just revealed his #1 stock for 2022...
And it's not CIBR.
Jeff Bezos, Peter Thiel, and the Rockefellers are betting a colossal nine figures on this tiny company that trades publicly for $5.
Keith say’s he thinks investors will be able to turn a small $50 stake into $150,000.
Find that to be extraordinary?
Click here to watch his presentation, and decide for yourself...
But you have to act now, because a catalyst coming in a few weeks is set to take this company mainstream... And by then, it could be too late.
Click here to find out the name and ticker of Keith's #1 pick...
Rare 19¢ trade for 5,100%-DO NOT USE.
Penny Trades” are cheap and explosive… Warren Buffett grabbed 46 million of them for 1¢ a pop. Right now, he’s up as much as a rare 4,429% on this trade. But “Penny Trades” aren’t reserved for billionaires like Buffett. Thanks to SEC loophole 30.52, you can play them in your brokerage account. One of these “Penny Trades” shot up 183% in one day… Penny Trades can pay far MORE than stocks… Our readers just saw a 19¢ trade shoot up as much as a rare 5,100%… Here’s the #1 “Penny Trade” for RIGHT NOW. [REVEAL TICKER]