NERD plans to make it simple to invest in esports
Competitive gaming is one of the fastest growing sports and entertainment trends of the 21st century. Although the esports industry is expected to hit $1 billion in revenues in 2019, the dynamic nature of competitive gaming has made it difficult for potential investors to know who to invest in.
However, the New York-based financial firm Roundhill Investments has launched a new exchange-traded fund (ETF) called NERD. As a result, anybody who uses the NERD ETF will be promised one of the best ways to invest in the buoyant esports industry.
The NERD ETF is one of the few exchanged-traded funds that is specially focused on esports alone. The ETF works by identifying those companies who are directly exposed to competitive gaming, and it bases its portfolio on stocks in these firms.
Investors in NERD ETF will also find that the companies featured will include those who are exposed to many of the industries related to esports. From professional streamers on Twitch, to gaming influencers on YouTube, the NERD ETF promises to make it simple to capitalise on the most lucrative players in the competitive gaming scene.
The NERD ETF is able to do this by employing specialist algorithms that scan relevant companies’ filings to see which firms are investing in esports. In addition to this, the NERD ETF is powered by several key figures who have already gained plenty of experience in the competitive gaming industry.
Such figures include the likes of Jens Hilgers who spent over a decade guiding ESL into becoming one of the biggest esports companies in the world. Plus there will be assistance from Chris Chaney who was the director of Infinite Esports and helped OpTic Gaming and Houston Outlaws become major names in competitive gaming.
By using this team of experts along with the specialist algorithms, the NERD ETF promises to identify those firms who are powering esports developments in media, hardware and the actual video games themselves. As a result, this venture takes a lot of the mystery out of investing in esports stocks.
Although investors could always put their money directly into a privately owned esports firm, by choosing the NERD ETF instead, they won’t require accreditation and might have to put down a smaller sum in terms of the initial capital outlay.
Such investments always carry a degree of risk. But as exchange-traded funds like NERD focus on a much more liquid market such as esports, the potential for quick and significant returns should not be underestimated.
The vibrant video gaming industry has already attracted similar ETFs such as the VanEck ESPO. But by focusing purely on esports, the NERD ETF promises to offer investors a specialist service that takes advantage of this niche, yet growing market.
It’s important to remember that esports has only been with us for less than a couple of decades, and there have been numerous casualties as a result of the dynamic nature of the industry. But with NERD ETF on hand to supply a degree of expertise, there will be more than few investors who will reap the benefits of the competitive gaming industry.
The Roundhill BITKRAFT Esports Index celebrated its 6-month anniversary on June 30. Since the Index launch at the beginning of the year, the Index has gained 26.0%. pic.twitter.com/MXHJoatKWD
— Roundhill Investments (@roundhill) July 2, 2019
Instead, if you are a Cryptocurrencies fan you should check our article: Cryptocurrencies and Esports: the bromance that never was.