BVP Nasdaq Emerging Cloud Index (EMCLOUD)
EMCLOUD is an index consisting of cloud computing and Software as a Service (SaaS) growth companies. Some of these companies are already tech dominators and others will emerge as the dominant tech companies of tomorrow.
Being an index created for growth companies, specific growth targets must be met to be included in this index as well as remain in it. There is a reconstitution that happens twice a year (February and August) which is carried out by Bessemer Venture Partners (BVP). At this point, each company gets re-evaluated. In addition to the growth criteria just mentioned, each company must meet certain standards based on market capitalization, liquidity, and focus on a cloud-related business model. The index also gets rebalanced at this point with each security getting an equal weighting.
Investing in EMCLOUD
The simplest was to invest in the EMCLOUD index is to buy WisdomTree Cloud Computing Fund (WCLD) which is an ETF that tracks the index. Our article, How to Apply the Rule of 40, also covers emerging cloud investment strategies.
Read about the EMCLOUD methodology here.