Core Viewpoint - The iShares U.S. Broker-Dealers & Securities Exchanges ETF (IAI) is a passively managed ETF that provides broad exposure to the Financials - Brokers/Capital markets segment, gaining popularity among investors due to its low cost and tax efficiency [1][2]. Group 1: Fund Overview - Launched on May 1, 2006, IAI has accumulated over $1.46 billion in assets, positioning it as an average-sized ETF in its category [3]. - The fund aims to match the performance of the Dow Jones U.S. Select Investment Services Index, which reflects the investment services sector of the U.S. equity market [3]. Group 2: Costs and Performance - IAI has an annual operating expense ratio of 0.4%, which is competitive within its peer group, and a 12-month trailing dividend yield of 0.92% [4]. - The ETF has shown strong performance, with a year-to-date increase of 22.58% and a 43.88% rise over the past year, trading between $115.73 and $175.82 in the last 52 weeks [7]. Group 3: Sector Exposure and Holdings - The ETF is fully allocated to the Financials sector, with Goldman Sachs Group Inc (GS) making up approximately 14.73% of total assets, followed by Morgan Stanley (MS) and S&P Global Inc (SPGI) [5][6]. - The top 10 holdings constitute about 72.64% of total assets under management, indicating a concentrated exposure [6]. Group 4: Risk Assessment - IAI has a beta of 1.15 and a standard deviation of 20.61% over the trailing three-year period, categorizing it as a high-risk investment option [7]. Group 5: Alternatives - The ETF holds a Zacks ETF Rank of 4 (Sell), suggesting that there are better alternatives available for investors seeking exposure to the Financials ETFs segment [8][9]. - An alternative option is the SPDR S&P Capital Markets ETF (KCE), which has $552.17 million in assets and a lower expense ratio of 0.35% [9].

Core Viewpoint - The SPDR S&P Capital Markets ETF (KCE) provides broad exposure to the Financials - Brokers/Capital markets segment, appealing to both retail and institutional investors due to its low costs, transparency, flexibility, and tax efficiency [1][2]. Fund Overview - KCE is a passively managed ETF launched on November 8, 2005, with assets exceeding $518.81 million, categorizing it as an average-sized ETF in its segment [3]. - The fund aims to match the performance of the S&P Capital Markets Select Industry Index, which represents the capital markets segment of the S&P Total Market Index [3]. Cost Structure - KCE has an annual operating expense ratio of 0.35%, positioning it among the least expensive ETFs in its category [4]. - The ETF offers a 12-month trailing dividend yield of 1.51% [4]. Sector Exposure and Holdings - The ETF is fully allocated to the Financials sector, with approximately 100% of its portfolio dedicated to this area [5]. - Key holdings include Robinhood Markets Inc A (HOOD) at 2.93% of total assets, followed by Donnelley Financial Solutions (DFIN) and Coinbase Global Inc Class A (COIN), with the top 10 holdings comprising about 19.70% of total assets [6]. Performance Metrics - Year-to-date, KCE has gained approximately 9.97%, and it has increased about 33.83% over the past year, with trading between $108.52 and $151.49 in the last 52 weeks [7]. - The ETF has a beta of 1.23 and a standard deviation of 22.68% over the trailing three-year period, indicating a higher risk profile [7]. Alternatives - KCE holds a Zacks ETF Rank of 4 (Sell), suggesting it may not be the best choice for investors seeking exposure to the Financials ETFs segment [8]. - Alternatives include the iShares U.S. Broker-Dealers & Securities Exchanges ETF (IAI), which tracks the Dow Jones U.S. Select Investment Services Index and has $1.43 billion in assets with an expense ratio of 0.40% [9].