Equity: U.S. Financials
With 13 ETFs and over $45.05B in combined AUM, the Equity: U.S. Financials segment provides exposure to the U.S. space with a focus on Financials securities.
Year-to-date, the best-performing ETF in the segment is the Gabelli Financial Services Opportunities ETF (GABF), with a total return of 1.42%. Meanwhile, the most popular ETF is the Financial Select Sector SPDR Fund (XLF) with $29.38BB in assets under management.
Investors should take a look at the Fidelity MSCI Financials Index ETF (FNCL). This fund has been chosen as an Analyst Pick by FactSet, thus is the best ETF for the average investor. FNCL tracks a market-cap-weighted index of US financial companies across the entire market-cap spectrum. FNCL has an expense ratio of 0.08% and tracks the MSCI USA IMI Financials 25/50 Index.
ETF.com Efficiency Insight
The average efficiency score in the Equity: U.S. Financials segment is 82 out of 100, with the Financial Select Sector SPDR Fund(XLF) obtaining the highest rating of 97 out of 100.
Costs dominate the discussion around efficiency. ETFs in the segment have an average expense ratio of 0.60% per year, with the Gabelli Financial Services Opportunities ETF (GABF) having the lowest expense ratio, charging investors 0% yearly.
Investors should look for funds with tight tracking, such as the Financial Select Sector SPDR Fund (XLF), with a 12-month median tracking difference of -0.04%.
Tracking Difference (12 Month)
ETF.com Tradability Insight
The average tradability score in the Equity: U.S. Financials segment is 89 out of 100, with the SPDR S&P Bank ETF(KBE) obtaining the highest rating of 99 out of 100.
The Financial Select Sector SPDR Fund (XLF) is the undisputed segment leader when it comes to liquidity. The fund trades 1.87B in daily average volume. Investors should also find ample liquidity in the SPDR S&P Bank ETF (KBE), with $142.10M in daily dollar volume.
Use limit orders to trade funds such as the Gabelli Financial Services Opportunities ETF(GABF), due to their double-digit market spreads.
ETF.com/ Block Liquidity
ETF.com Fit Insight
The MSCI USA IMI Financials Index has been selected as the index that most accurately represents the market in question. The benchmark has been selected by the ETF Analytics team at FactSet, according to a series of guidelines to ensure this index accurately captures its market.
Investors trying to match a broad market exposure should pay attention to . This fund obtains a high Fit score and investors should capture market-like returns.
Other funds diverge from the market, by nature of their investment mandates; for example, follows a strategy and obtains a low Fit score compared with our neutral benchmark.