Investing in FANG Companies: Opportunities and Risks
A Closer Look at the Four Tech Giants that Make Up the FANG Group
Charlie Meaden
Last Update a year ago
When people refer to "FANG" in investing, they are typically referring to a group of four highly successful technology companies: Facebook, Amazon, Netflix, and Google (now Alphabet). These companies are known for their innovative products and services, strong financial performance, and large market capitalisation. As a result, they are often considered by investors to be among the most attractive companies to invest in within the tech sector.
The appeal of investing in FANG companies lies in their potential for strong growth and high returns. These companies are at the forefront of the tech industry and are well-positioned to capitalise on the growth of the digital economy. Additionally, they have proven track records of profitability and have shown the ability to adapt to changing market conditions. For these reasons, many investors see FANG companies as a valuable addition to their portfolios.
The acronym "FANG" was coined by CNBC's Mad Money host Jim Cramer in 2013, and has since become a widely used term in the world of investing. It is often used as a shorthand for referring to the group of companies as a whole, and is sometimes used as a benchmark for the performance of the tech sector.