Not to be confused with yet another social media ETF comprised of social media companies, the latest flavor in the creative world of exchange-traded funds is courtesy of ALPS Advisors and Sprott Asset Management; an ETF that tracks the performance of the BUZZ Social Media Insights Index, which in turn, identifies U.S. companies that rank highest in terms of ‘positive public perception’ as measured by ‘the buzz’ on social media platforms.
The ticker symbol at NYSEArca is $BUZ, and while our very own MarketsMuse senior editor suggested a better ticker symbol would be “BUZZ”, that ticker is rumored to have been reserved by former NYMEX Chairman Richard Shaeffer in connection with his backing of Americanex Corp, an upstart electronic exchange platform for cannabis growers and distributors, and run by former Tullett Prebon FX broker Steve Janjic.
Still don’t get the value proposition of buying an ETF comprised of companies that inspire positive social media generated vibes via their brands? Especially when a single snarkly tweet from a much-followed celeb or political candidate (e.g. Trump) can cause a company’s share price to plunge in a nanosecond? MarketsMuse curators canvassed an assortment marcom experts who also understand the nuances of investing and the senior resident at The JLC Group distilled the description of the ALPS ETF with this comment, “..the presumption presumably is that companies having a high rank insofar as perception (aka