The International Air Transport Association (IATA) estimates that the COVID-19 outbreak could cost the global airline industry more than $133 billion from canceled and postponed flights. For those considering jumping into the airline space while stocks are down – is an airline ETF or individual airline stocks the way to go?
Will Ashworth, InvestorPlace contributor, argues that a diversified airline ETF is a smarter play than buying individual airlines. The U.S. Global Jets ETF (JETS) is the only pure play airline ETF on the market. “The biggest reason I’d bet on JETS over Southwest or American Airlines is that it provides you with diversification through its 33 holdings.” Ashworth adds that if investors do want exposure to carriers such as Southwest, JETS does have the four top U.S. carriers as its top four holdings.
Learn more about JETS and all of its 33 holdings by clicking here.
U.S. Global Investors has authored and is responsible for the summary on this page. All opinions expressed and data provided are subject to change without notice. Opinions are not guaranteed and should not be considered investment advice.
Diversification does not guarantee a profit or protect from loss in a declining market.