State Street SPDR vs. iShares: Which Bank ETF Wins This Showdown?
Take concentration risk and amplify it, and one ETF ends up looking far more attractive.
State Street SPDR vs. iShares: Which Bank ETF Wins This Showdown?
Overview
State Street SPDR S&P Bank ETF (NYSEMKT:KBE) offers broader industry exposure and a slightly lower expense ratio, while iShares U.S. Regional Banks ETF (NYSEMKT:IAT) provides a concentrated play specifically on regional institutions.
Investors seeking exposure to the banking sector often weigh regional specialization against broader industry diversification. These two funds offer distinct approaches to the financial landscape, differing in their basket size, concentration levels, and underlying sub-industry allocations within the United States.
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Details
Source
Originally published at www.fool.com.
