Investors are using defence ETFs as a ‘flight to safety’
As geopolitical tensions escalate and global defence spending increases, a growing number of investors are turning to defence-focused exchange-traded funds (ETFs). These funds not only provide a hedge against uncertainty but also present opportunities for capital growth.
Defence: how an unwanted child becomes wanted
German Chancellor Scholz’s announcement that he is making 100 billion euro available from the federal budget to strengthen national and European defence has not missed the mark. German Rheinmetall shares extended gains on Tuesday, adding another 18 percent after to close at an alltime high of 157,20 euros, down from its 52-week average of 76.28 euros. ETFs focused on defence and aerospace have also gained since the war in Ukraine.