There is a lot of tension between the US and Russia as of late, as Russia has decided to invade the Ukraine. This week the Department of Homeland Security Cybersecurity and Infrastructure Agency issued a “SHIELDS UP” advisory. The CISA states that the “Russian government understands that disabling or destroying critical infrastructure – including power and communications – can augment pressure on a country’s government, military and population and accelerate their acceding to Russian objectives.”
In retaliation for invasion into the Ukraine, President Joe Biden has recently been presented with options for the U.S. to take part in cyberattacks designed to disrupt Russia’s military operations in the Ukraine.
Given the situation in Ukraine, there is concern about an escalation of cyber threats here in the US, with that in mind here are some Cyber Security ETFs to Consider.
WISDOMTREE CYBERSECURITY FUND (WCBR)
The fund offers Pure-play exposure to the evolving cybersecurity trends with the potential to generate attractive relative growth rates. Some of the top holdings of the fund are:
Datadog Inc Class A (DDOG)
Palo Alto Networks, Inc. (PANW)
Rapid7 Inc. (RPD)
Tenable Holdings, Inc. (TENB)
Fortinet, Inc. (FTNT)
The fund has an expense rate of .45% and has 28 total holdings. YTD the fund is down -13.82%.
ETFMG PRIME CYBER SECURITY ETF (HACK)
The fund is the first ETF to target the cyber security industry. ETFMG Prime Cyber Security ETF (HACK) is a portfolio of companies providing cyber security solutions that include hardware, software and services. Some of the top holdings of the fund are:
Cisco Sys Inc (CSCO)
Check Point Software (CHKP)
NortonLifeLock Inc. (NLOK)
Palo Alto Networks Inc (PANW)
Splunk Inc. (SPLK)
The fund has an expense rate of .60% and has 63 total holdings. YTD the fund is down -12.32%.
GLOBAL X CYBERSECURITY ETF (BUG)
The Global X Cybersecurity ETF (BUG) seeks to invest in companies that stand to potentially benefit from the increased adoption of cybersecurity technology. Some of the top holdings of the fund are:
Check Point Software (CHKP)
NortonLifeLock Inc. (NLOK)
Palo Alto Networks Inc (PANW)
Fortinet (FTNT)
Avast PLC (AVST)
The fund has an expense rate of .50% and has 32 total holdings. YTD the fund is down -7.50%, which makes it the best performing ETF YTD of the three we are covering.