Facebook, Apple, Amazon, Netflix and Google (FAANG), a further extension of FANG (which originally did not include Apple), is both an acronym and a buzzword to entice investors, as popularised by Jim Cramer from CNBC's Mad Money and other talking heads for grouping together currently high performance technology companies currently listed on NASDAQ. While it usually refers to the five (or four) of these technology companies specifically, the term is now generally used to refer to the technology and consumer discretionary sectors consisting of highly-traded growth stocks of American technology and tech-enabled companies in recent years. Such a perspective of the market demonstrates a huge impact with commensurate profit or loss. Opinions have been divided over whether this phenomenon is indicative of a tech bubble or long-term sustained growth of these technology companies.In 2017, Intercontinental Exchange has initiated an index with this focus through the NYSE and extended FANG with Twitter, Nvidia and Tesla and with BAT stocks, the Chinese counterparts: Baidu, Alibaba and Tencent. Investment analysts have often compared FAANG against or together with BAT stocks due to the latter's similar level of growth in the Chinese stock market.There are also actively managed ETFs, which attempt to take advantage of the phenomenon of these index-based funds, since indices don’t have the power to make adjustments on any given day. However, investors should be wary as an ETF may not be currently holding all of the implied tech company stocks. For example, the ETF known by ticker FNG, sold out of Facebook during the Cambridge Analytica scandal, but also dumped Apple holdings ahead of its earnings boost.Some have argued that FAANG stock momentum is shifting towards CRACKS (Coinbase, Ripple Labs, Alibaba, Circle, Kraken, and Square) with the booming revolution of blockchain and cryptocurrencies. CRACKS was an acronym created by Paul de Havilland, a journalist from Bitsonline.
Stock market index Big Three (automobile manufacturers) Big Four tech companies (GAFA)
NYFANG at the NYSE “FANG+”. ICE. “FNG”. NYSE.