Shopify is an e-commerce platform that enables merchants to easily set up online stores. As Shopify grows rapidly and powers more and more online stores, investors are increasingly interested in ways to invest in this company and platform. This article will introduce key information and conclusions on how to invest in Shopify.
Directly invest in Shopify stocks
The most straightforward way to invest in Shopify is to directly purchase Shopify stocks (ticker: SHOP). As a public company traded on the NYSE and TSX, investors can easily buy Shopify shares through online brokers. However, the high volatility of tech stocks should be considered.
Invest in Shopify via ETFs
Another approach is to invest in Shopify indirectly through ETFs that have Shopify as a holding, such as the Global X E-commerce ETF (EBIZ) and the Amplify Online Retail ETF (IBUY). This provides more diversification but less direct exposure.
Invest in merchants built on Shopify
Furthermore, investors can consider investing in individual businesses that are powered by Shopify for their e-commerce operations. The success of these merchants contributes to Shopify’s growth.
Understand risks and use dollar cost averaging
However, investing in high growth technology stocks also comes with increased risks. Investors should dollar cost average when building a long-term Shopify investment position to smooth out volatility.
In summary, investors can gain exposure to Shopify and its continued rapid growth by directly purchasing Shopify stocks, indirectly through ETFs, or by investing in Shopify-powered merchants. However, risks should be managed through dollar cost averaging given the potential volatility.