BetaShares launches Metaverse ETF on the ASX
Australian fund manager BetaShares has today launched the BetaShares Metaverse ETF (ASX: MTAV) on the Australian Securities Exchange.
The Australian-first ETF offers investors exposure to a portfolio of leading global companies involved in building, developing and operating the Metaverse – the next frontier of the internet that is revolutionising the way people, businesses and communities connect with one another.
The Metaverse economy sits at the intersection of virtual and augmented reality, gaming, artificial intelligence, advertising, as well as digital currencies and tokens. Over time, this powerful frontier is predicted to facilitate the digitisation and virtualisation of communities, experiences, and commerce. In order to stay connected with their customers, brands will have to increasingly invest considerable resources towards their Metaverse strategy.
As a result, the potential opportunity associated with the Metaverse is considerable. Bloomberg Intelligence has estimated the market opportunity associated with the Metaverse at nearly $800 billion in annual revenue by 2024. In practice, some leading brands are already taking advantage of the technology to engage deeper with their audiences – a recent example being the partnership between the International Space Station and Meta Quest to bring a spacewalk to viewers via the Metaverse, or leading musicians performing in the Metaverse for their fans.
Leading market analysts have predicted the growing commercial opportunity associated with the Metaverse will start with adoption of virtual and augmented reality via new hardware, but the long-term potential will ultimately be driven by more ongoing revenue streams such as advertising as well as the facilitation of transactions in the Metaverse.
Investors are able to access this opportunity via the BetaShares Metaverse ETF. MTAV is the first exchange traded fund of its kind in Australia and provides investors a convenient and cost-effective way to access a portfolio of global names that are driving this growing sector.
MTAV aims to track the Bloomberg Metaverse Select Index and currently offers exposure to a portfolio of 32 leading companies that generate a meaningful amount of their revenues from activities related to the Metaverse, including Roblox, NVIDIA and Meta Platforms. MTAV provides exposure to both large, profitable technology and entertainment companies, as well as more specialised companies with a focus on the core technologies that will enable the Metaverse.
BetaShares CEO, Alex Vynokur, said the Metaverse is a powerful megatrend that is predicted to shake up how we connect with family, friends and the wider community.
“As the range of technologies underpinning the Metaverse evolves and user growth continues, this secular trend is expected to revolutionise the way we engage with sport, live music and other ways of staying connected.
“While still in the early stages of evolution, the Metaverse has the potential to be one of the biggest secular growth trends of the coming decades. We are proud to provide investors with access to this investment opportunity. This innovative new fund will form part of our leading suite of thematic funds that offer investors exposure to the megatrends that are changing the world around us,” Vynokur concluded.