IYH Beats IXJ on Returns While Global Fund Offers Higher Yield
U.S. healthcare stocks delivered 28.8% gains over one year versus 22.5% for international peers. Both funds carry nearly identical expense ratios and low volatility profiles.
Overview
iShares Global Healthcare ETF (NYSEMKT:IXJ) offers international diversification and a higher yield, while iShares U.S. Healthcare ETF (NYSEMKT:IYH) focuses on domestic giants and has recently delivered stronger total returns.
These two funds from iShares target the same sector but different geographies. While the U.S. healthcare market is the largest globally, many medical innovators are headquartered in Europe and Asia. Choosing between them depends on whether investors want pure domestic exposure or a global footprint.
Beta measures price volatility relative to the S&P 500; beta is calculated from monthly returns over the available fund history (up to five years). The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
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Source
Originally published at www.fool.com.