not vested
VanEck Vectors Video Gaming and eSports ETF ( ESPO )
VanEck Vectors Video Gaming and eSports ETF is a thematic equity ETF, with market cap of approximately USD 15.81 million and expense ratio of 0.55%.
The ETF invests in companies involved in video game development, eSports, and related hardware and software.
To be eligible for the holdings, each company must generate at least 50% total revenue from video gaming or eSports related industry.
Esports are a form of competitive video gaming, multiplayer spectator events. Esports has created new potential revenue streams from game publisher fees, media rights , merchandise, ticket sales and advertising.
According to Newzonn's global Esports market report 2017, Esports revenue is expected to reach USD 1.7 billion in 2021 from USD 906 million in 2018, which is a 23% compound annual growth rate.
The competitive video gaming audience has grown from 205 million to 380 million during 2014-2018. Due to the shift of cultural paradigm, Esports athletes and competitions are considered to be on par with traditional sporting events.
For example, the popular video game, League of Legends 2017 world final attracted more viewers than the deciding games of MLB World Series, NBA Finals, and the NHL Stanley Cup.
Hence, a broad consortium of companies are actively investing in esports related ventures, with a growing number of collaborations between video game developers, tech companies, and traditional sports franchises.
Therefore, investors can capitalize the growth of Esports industry via ESPO. Recommend to buy at $32, target price $40, cut loss if drop below $28.
Source: Phillips