In celebration of the three-year anniversary of the U.S. Global Jets ETF (JETS), Frank Holmes, CEO and CIO of U.S. Global Investors, visited the New York Stock Exchange and chatted with Director of Exchange Traded Products Scott Szever. Frank discussed how rising oil prices affect the airlines industry and that historically ancillary fees have helped offset higher fuel costs. The two also talked about how global economic growth could lead to a strong summer travel season, which is typically one of the busiest times of the year for the airlines industry. Watch the full interview below!
Neither Warren Buffett nor Berkshire Hathaway is affiliated with U.S. Global Investors.
Ancillary fees/revenue, in the airline industry, is revenue from non-ticket sources, such as baggage fees and on-board food and services, and has become an important financial component for low-cost carriers.
The Purchasing Manager’s Index is an indicator of the economic health of the manufacturing sector. The PMI index is based on five major indicators: new orders, inventory levels, production, supplier deliveries and the employment environment.