Tech ETFs Could Be Boosted by Sector Bullishness

Includes: FXL, IGV, IYW, PTM, XLK
by: Tom Lydon

Technology giants are bullish about the future outlook of the technology sector. A growing market for technology goods may power technology-related ETFs.

U.K. Bluetooth specialist CSR PLC remains bullish on prospects for the wireless technology market; however, the strength of the economic recovery still remains a factor.

Chief Executive Van Beurden of CSR expects a 15% to 30% growth in the connectivity market in the next three years. Van Beurden also adds that, along with connectivity, “location and audio platforms will show significant growth by value this year and beyond.”

Nokia Corp. (NYSE: NOK), the world’s largest handset maker, and German chip maker Infineon Technologies (OTCQX:IFNNY) both posted better-than-expected results last month, report Elliott Ball and Kaveri Niththyananthan for The Wall Street Journal.

CSR has a broad range of customers including Nokia Corp., Hewlett-Packard Co. (NYSE: HPQ), Sony Corp. (NYSE: SNE), Dell Inc. (NASDAQ: DELL), Microsoft Corp. (NASDAQ: MSFT) and Sharp Corp SHCAY.PK).

  • Technology Select Sector SPDR (NYSEArca: XLK)
  • iShares Dow Jones U.S. Technology (NYSEArca: IYW)
  • PowerShares Dynamic Technology (NYSEArca: PTM)
  • First Trust Technology AlphaDEX (NYSEArca: FXL)
  • iShares Goldman Sachs Software Index (NYSEArca: IGV)

Max Chen contributed to this article.