Is This Social Media ETF Right for You?
The global social media industry continues to grow, but investing in individual companies' stocks can be messy even after doing ample research. For those investors looking for an easy way into the market, the Global X Social Media Index ETF (NASDAQ: SOCL) might be a good choice. Exchange-traded funds allow investors to buy into a bunch of related companies by buying shares in just one fund.
Whether you are a fan of social media or not, there are plenty of reasons to be an investor in the space. Billions of people use social media, and that number is expected to keep growing, according to statistics portal Statista. In 2017, nearly 2.5 billion people will be using a social site of some type, but that number could cross the 3 billion mark by the year 2021.
Why the continued increase? One reason is that new platforms geared to new audiences are being created. Social media can be used to stay in touch with family and friends, meet new people, manage business relationships, and find reviews for things you want to buy. Popular sites are constantly adding new features; for example Facebook's (NASDAQ: FB) new food ordering service.
Source: Fool.com
