Today, Roundhill has rolled out an ETF that seeks to capture the performance of the online sports betting industry. The Roundhill Sports Betting & iGaming ETF (BETZ) tracks a tiered index of companies involved in the space. The methodology defines iGaming as using the internet to wager on an event or game’s outcome.
BETZ comes with an expense ratio of 0.75% and lists on the NYSE Arca.
The fund’s underlying benchmark sorts eligible companies into three tiers: pure-play, core and noncore. The pure-play companies are weighted at 150% of the weighting of the core companies, and core companies are weighted at 150% of the weighting of the noncore companies. The index had 31 components as of the end of April, the prospectus says.
This is the first-ever ETF to target online betting specifically. But it’s not a completely new concept for Roundhill, which also offers the $17 million Roundhill BITKRAFT Esports & Digital Entertainment ETF (NERD).
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