The Russia-Ukraine conflict has drawn attention to the global defence sector. However, investors should keep their eyes on the cyber security space. This arena is expected to become an increasingly intense battleground among the great powers in the years ahead. Today, I want to look at an exchange-traded fund (ETF) that offers exposure to this exciting sector.
Future Market Insights recently released a report on the state of the cyber security market going forward. It projected that the industrial cyber security market is set to deliver a CAGR of 7.7% from 2022 through to 2027. This market will be able to take advantage of the heightened demand in this space.
The Evolve Cyber Security Index ETF (TSX:CYBR) seeks to invest in equity securities of companies located domestically or internationally that are involved in the cyber security industry. Shares of this ETF have climbed 1.2% in 2022 as of mid-afternoon trading on April 5. The ETF has spiked 11% in the month-over-month period.
This fund is mostly weighted in United States and Israel-based securities. Some of the top holdings in this ETF include Crowdstrike Holdings, Palo Alto Networks, and Fortinet. These companies are set to see a big jump in activity as public and private sector entities look to protect themselves from cyber attack. Investors should be eager to get in on this ETF right now.
