Threats of WW3 Sending these 3 Stocks to Higher Highs

Jan 27, 2023
The missiles are aimed at the sky at sunset. Nuclear bomb, chemical weapons, missile defense, a system of salvo fire.

We may be closer to nuclear war than we thought.

Not only is the Doomsday Clock now 90 seconds to midnight, but the World Health Organization just posted guidance on how to survive a nuclear emergency.

Nice to see 2023 start on such a bright note, huh?

As noted by Fortune, “Dr. Maria Neira, WHO’s acting assistant director-general warned that governments need to make treatments for radiation and nuclear exposure available quickly. Potential scenarios considered in the publication include radiological or nuclear emergencies at nuclear power plants, as well as intentional uses of radioactive materials with malicious intent.”

“It is essential that governments are prepared to protect the health of populations and respond immediately to emergencies,” she added.

It’s all part of the reason defense ETFs are still running hot.

In fact, as we noted earlier in the week, some of the top defense ETFs include:

Invesco Aerospace & Defense ETF (PPA)

One of the best ways to diversify with defense stocks is with an ETF like the Invesco Aerospace & Defense ETF (PPA).  Not only do you gain exposure to most of the industry heavyweights, you can do so at less cost.  With an expense ratio of 0.50%, the PPA ETF offers exposure to companies involved in the development, manufacturing, operations and support of US defense, homeland security and aerospace operations. 

Some of its top holdings include Lockheed Martin, Boeing, Raytheon Technologies, Honeywell, General Dynamics, L3Harris Technologies, and Textron to name a few.

SPDR S&P Aerospace & Defense ETF (XAR) 

With an expense ratio 0.35%, the SPDR S&P Aerospace & Defense ETF seeks to provide returns that correspond to the S&P Aerospace & Defense Select Industry Index. Some of its top holdings include Mercury Systems, Axon Enterprise, Northrop Grumman, Lockheed Martin, General Dynamics Corp., L3Harris Technologies Inc., and Maxar Technologies to name a few.  

iShares U.S. Aerospace & Defense ETF (ITA)

The ITA ETF is another hot defense ETF to consider.

With an expense ratio of 0.39%, the iShares US Aerospace & Defense ETF invests in stocks in the domestic aerospace and defense sector. These stocks can include companies that manufacture both commercial and military aircraft as well as other types of defense-related equipment. It has holdings in Boeing, United Technologies Corporation, Lockheed Martin, Raytheon, General Dynamics, and Northrop Grumman for example.