Core Insights - The Invesco KBW High Dividend Yield Financial ETF (KBWD) is a smart beta ETF launched on December 2, 2010, providing broad exposure to the Financials sector [1] - KBWD aims to match the performance of the KBW Nasdaq Financial Sector Dividend Yield Index, which includes 24 to 40 publicly listed financial companies in the US [5][6] - The ETF has an annual operating expense of 2.02% and a 12-month trailing dividend yield of 12.28% [7] Fund Overview - Managed by Invesco, KBWD has assets exceeding $430.92 million, categorizing it as an average-sized ETF in the Financials sector [5] - The fund's portfolio is entirely allocated to the Financials sector, with top holdings including Orchid Island Capital Inc (4.77%), Invesco Mortgage Capital Inc, and Dynex Capital Inc [8][9] Performance Metrics - As of September 10, 2025, KBWD has returned approximately 5.07% year-to-date and 5.82% over the past year, with a trading range between $12.37 and $15.76 in the last 52 weeks [11] - The fund has a beta of 1.15 and a standard deviation of 20.69% over the trailing three-year period, indicating medium risk [11] Alternatives - Other ETFs in the Financials sector include Vanguard Financials ETF (VFH) with $12.89 billion in assets and Financial Select Sector SPDR ETF (XLF) with $54.53 billion [13] - VFH has an expense ratio of 0.09% and XLF has 0.08%, presenting lower-cost options for investors [13]

Core Insights - The Invesco KBW High Dividend Yield Financial ETF (KBWD) is a passively managed ETF launched on December 2, 2010, aimed at providing long-term investors with exposure to the Financials sector [1][3] - The ETF has amassed over $424.82 million in assets, making it an average-sized fund in the Financials - Broad segment [3] - The fund seeks to match the performance of the KBW Nasdaq Financial Sector Dividend Yield Index, which includes 24 to 40 publicly listed financial companies in the US [4] Cost and Performance - The annual operating expenses for KBWD are 2.02%, which is considered high compared to other ETFs, but it offers a 12-month trailing dividend yield of 12.5% [5] - The ETF has gained approximately 3.66% year-to-date and 7.64% over the past year, with a trading range between $12.37 and $15.76 in the last 52 weeks [8] Sector Exposure and Holdings - KBWD has a 100% allocation in the Financials sector, providing diversified exposure while minimizing single stock risk [6] - The top holdings include Orchid Island Capital Inc (4.67%), Invesco Mortgage Capital Inc, and Armour Residential Reit Inc, with the top 10 holdings accounting for about 36.48% of total assets [7] Alternatives - Other ETFs in the Financials space include Vanguard Financials ETF (VFH) with $12.69 billion in assets and Financial Select Sector SPDR ETF (XLF) with $52.35 billion, both having significantly lower expense ratios of 0.09% and 0.08% respectively [10]