4 Top Fintech ETFs to Watch
I’d be willing to bet you or someone you know uses Apple Pay or Google Pay more often than pulling out a regular credit card.
Personally, I’m a big fan of Apple Pay.
I love that I don’t have to carry around my wallet and it, sometimes regrettably, makes online shopping extremely easy.
The surge in digital payments is part of the global shift away from cash and is all thanks to an emerging sector known as Financial Technology AKA FinTech.
If you’re looking to invest in the FinTech world, here’s a list of 4 ETFs with a special focus on the sector.
ETFMG Prime Mobile Payments ETF (IPAY)
The ETFMG Prime Mobile Payments ETF (IPAY) is owned by ETF Managers Group (ETFMG).
ETFMG says this fund is the first to target the mobile payments industry and it “capitalizes on the transition taking place from cash/physical credit card payments to a mobile/digital system”.
IPAY was launched on July 15, 2015.
At writing, the fund had $908.7 million in assets across 52 stocks.
The top 10 stocks in IPAY are:
- American Express (AXP)
- Mastercard (MA)
- Visa (V)
- Block (SQ)
- Fiserv (FISV)
- Adyen N.V. (ADYYF)
- Fidelity National Information Services (FIS)
- PayPal (PYPL)
- Global Payments (GPN)
- Discover Financial Services (DFS)
Global X FinTech ETF (FINX)
The Global X Fintech ETF (FINX) is a fund owned by the ETF provider Global X, which is a member of Mirae Asset Financial Group.
Global X says this ETF “seeks to invest in companies on the leading edge of the emerging financial technology sector.”
The company says that sector “encompasses a range of innovations helping to transform established industries like insurance, investing, fundraising, and third-party lending through unique mobile and digital solutions.”
FINX was launched on September 12, 2016.
At writing, the fund had $892 million in assets across 55 stocks.
The top 10 stocks in FINX are:
- Intuit (INTU)
- Fiserv (FISV)
- Adyen N.V. (ADYYF)
- Fidelity National Information Services (FISV)
- SS&C Technologies Holdings (SSNC)
- Coinbase (COIN)
- PayPal (PYPL)
- Bill.com Holdings (BILL)
- Block Inc (SQ)
- Xero Ltd (XROLF)
Ark Fintech Innovation ETF (ARKF)
The Ark Fintech Innovation ETF (ARKF) is a fund owned by Cathie Wood’s ARK Invest.
Yes, Wood owns more than just the famed Ark Innovation ETF (ARKK).
ARKF was launched on February 4, 2019.
ARK Invest defines “Fintech innovation” as “the introduction of a technologically enabled new product or service that potentially changes the way the financial sector works.”
At writing, the fund had $1.6 billion in assets across 33 stocks.
The top 10 stocks in the ARKF ETF are:
- Block Inc (SQ)
- Coinbase (COIN)
- Shopify (SHOP)
- Twilio (TWLO)
- UiPath (PATH)
- Sea Ltd. ADR (SE)
- MercadoLibre (MELI)
- Adyen N.V. (ADYYF)
- Teladoc (TDOC)
- Robinhood (HOOD)
Ecofin Digital Payments Infrastructure Fund (TPAY)
The Ecofin Digital Payments Infrastructure Fund (TPAY) is owned by Ecofin Investments.
The fund invests in companies Ecofin believes will benefit from the transition to digital payments from traditional cash.
TPAY was launched on January 31, 2019.
At writing, the fund had just $10 million in assets across 56 stocks. So as you might expect, it trades very little volume — just about 3K shares per day.
The top 10 stocks in TPAY are:
- American Express (AXP)
- Fleetcor Technologies (FLT)
- Mastercard (MA)
- Discover Financial Services (DFS)
- Visa (V)
- Global Payments (GPN)
- Fiserv (FISV)
- Fidelity National Information Services (FIS)
- Henry Jack & Associates (JKHY)
- Docusign (DOCU)
The FinTech world is only expected to grow more as the Metaverse becomes “reality”.
Check out this post to learn more about the Top 5 Metaverse stocks you should be watching!