IYW Sees $26.9 Billion in Fund Inflows in Trailing One Month
Insight: Fund Flows in Technology Exchange Traded Funds
Overview of the IYW ETF
The iShares Dow Jones Technology Sector ETF (IYW) tracks a market-cap-weighted portfolio of US technology companies. It tracks the performance of 147 publicly-listed companies in the technology sector. The market capitalization of the IYW ETF is $2.6 billion with an expense ratio of 0.45% and an average daily volume of shares traded of $27.1 million. The price-to-earnings ratio of the ETF is 17.62x, whereas its price-to-book value ratio and distribution yield stand at 3.69x and 1.2%, respectively.
Top holdings
The top five holdings of the ETF are Apple Inc. (AAPL) at 19.0%, Microsoft (MSFT) at 10.8%, Facebook Inc. Class A Shares (FB) at 6.2%, Google Inc. Class A (GOOGL) at 5.8%, and Google Inc. Class C (GOOG) at 5.6%. They comprise over 45% of the total portfolio. Apple comprises 14.0% of the iShares S&P Global Information Tech. ETF (IXN) as well.
Fund flows in IYW
In the trailing one month, fund inflows for The iShares Dow Jones Technology Sector ETF (IYW) were $26.9 million, whereas in the trailing-12-month period net fund outflows stood at -$2.2 billion. Fund flows in the trailing-one-week and trailing-three-month (or quarterly) periods for the IYW ETF were $16.0 million and -$216.3 million, respectively. Since June 26, 2015, the IYW ETF was trading consistently below its moving averages and since then, net fund outflows in the ETF were -$474.4 million.
The IYW ETF generated investor returns of 11.5% in the trailing-12-month period and 6.7% in the trailing-one-month period. In comparison, it generated 15.5% returns in the trailing-three-year period 2.8% YTD (year-to-date) and -0.79% in the last three months. We can see that as the ETF generates negative returns, fund outflows rise.
Moving averages
On October 23, 2015, the IYW ETF closed the trading day at $109.8. Based on this figure, here’s how the stock fares in terms of its moving averages:
5.3% above its 100-day moving average of $104.3
8.0% above its 50-day moving average of $101.7
6.6% above its 20-day moving average of $103.0
Relative strength index
The IYW ETF’s 14-day RSI (relative strength index) is 72.7, showing that the ETF could be overbought.
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