SoFi Technologies (SOFI) has jumped 91.6% over the past six months. The company has expanded its offerings across lending, financial services, and tech platforms, which helps support a wide customer base. Its products, such as SoFi Invest and SoFi Money, are gaining traction, while its Galileo platform continues to support its growth in digital banking solutions. Thus, investors looking for exposure to SOFI stock may consider investing in these two ETFs: ARK Fintech Innovation ETF (ARKF) and Global X Fintech ETF (FINX).
Let’s take a deeper look at these two ETFs.
Ark Fintech Innovation ETF
The ARKK ETF is an actively managed fund that seeks long-term capital growth. It is managed by renowned investor Cathie Wood and offers exposure to companies driving innovation in financial technology with blockchain, digital wallets, payment systems, and AI-driven financial solutions.
SOFI stock constitutes 3.62% of the ETF’s holdings. Apart from SOFI, some of the top stocks in the ARKF ETF are Shopify (SHOP), Coinbase (COIN), and Robinhood (HOOD). Overall, the ETF has $995.09 million in assets under management (AUM). Also, it has an expense ratio of 0.75%. The ARKF ETF has returned 43.52% in the past six months.
Turning to Wall Street, the ETF has a Moderate Buy consensus rating. Of the 38 stocks held, 29 have Buys and nine have a Hold rating. At $47.48, the average ARKF ETF price target implies a 25.63% upside potential.
Global X Fintech Tech ETF
The FINX ETF invests in businesses involved in areas like mobile payments, peer-to-peer lending, blockchain, and financial analytics software. The ETF aims to track the performance of the Global FinTech Thematic Index.
Importantly, SOFI accounts for 3.42% of FINX’s total holdings. Some of the top holdings in FINX ETF include Fiserv (FI), PayPal (PYPL), and Intuit (INTU). Overall, the ETF has $296.33 million in AUM and an expense ratio of 0.68%. Over the past six months, the FINX ETF has generated a return of 16%.
On TipRanks, FINX has a Moderate Buy consensus rating based on 43 Buys, 17 Holds, and one Sell assigned in the last three months. At $36.98, the average FINX ETF price target implies 23.34% upside potential.
Concluding Thoughts
ETFs provide indirect exposure to SOFI, reducing risk compared to investing directly in the stock. Furthermore, ETFs are a liquid and transparent way to participate in the market. Investors seeking ETF recommendations might consider FINX and ARKF, as these ETFs offer exposure to SoFi stock.