Top Tech ETFs for 2026: Can FTEC's Lower Costs Outperform IYW's Concentration?
IYW delivered 40.70% one-year returns but carries a 0.38% expense ratio, while FTEC charges just 0.08% annually with broader holdings across 288 securities.
Overview
The Fidelity MSCI Information Technology Index ETF (NYSEMKT:FTEC) offers lower costs, while the iShares U.S. Technology ETF (NYSEMKT:IYW) provides higher recent returns with a more concentrated technology portfolio.
Investors seeking broad exposure to the domestic technology sector often weigh these two heavyweights. While both funds target the same corner of the market, they follow different underlying indexes, resulting in variations in cost, stock count, and recent performance. This analysis compares their portfolios to help clarify which may better suit a long-term growth strategy.
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.