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Ishares Cybersecurity and Tech ETF(IHAK-A)
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Why I’m Buying This Cyber Security ETF Today

Baystreet - Mon Feb 28, 2022

The Russian invasion of Ukraine on February 24, 2022 has unleashed a firestorm of geopolitical consequences that is sparking market volatility. NATO powers have responded to the invasion with severe economic sanctions. This has included freezing Russian banks out of the crucial SWIFT banking system. Some experts believe that this could lead to increased cyber warfare. Investors should look to cyber security related equities in this environment.

Beyond this recent bullish sign, the cyber security space is geared up for big growth going forward. Allied Market Research recently projected that the global cyber security market would deliver a CAGR of 9.5% from 2021 through to 2030.

We can look at the iShares Cybersecurity and Tech ETF (NYSE:IHAK) as we move into the month of March. Shares of this ETF climbed 3.4% on February 28. The ETF is still down 6.1% in the year-to-date period.

This ETF seeks to track the investment results of an index composed of developed and emerging market companies involved in cyber security and technology. It possesses a middling MER of 0.47%, making it somewhat pricier than average.

The top holding in this ETF by a narrow margin is Check Point Software Technologies. This Israeli-based company provides software and combined hardware and software products for IT and other forms of security. The second-largest holding is the Florida-based Citrix Systems, a cloud computing and virtualization technology company.

Provided Content: Content provided by Baystreet. The Globe and Mail was not involved, and material was not reviewed prior to publication.