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Investors Flocking to Healthcare ETF at Record High


A sector fund focused on Healthcare has seen asset inflows in recent sessions that account for about thirty percent of the overall asset levels in the fund as IYH (iShares US Healthcare, Expense Ratio 0.48%) traded more than three million shares in yesterday’s session alone (ADV is about 146,000 shares).

The fund now has north of $1 billion in assets under management, with a chunk of that appearing via new creations lately.

Top holdings in IYH are JNJ (12.30%), PFE (9.53%), MRK (7.15%), GILD (3.98%), and AMGN (3.77%).

Four of these top five components are slated to report quarterly earnings within the next week, with JNJ already having released their results.

IYH is currently trading at new highs, eclipsing a $107 handle yesterday, and since the industry sector seems to be in focus here, it is worth watching related broad based Healthcare ETFs in the space including XLV (SPDR Health Care Select, Expense Ratio 0.18%), VHT (Vanguard Health Care, Expense Ratio 0.14%), and FXH (First Trust Health Care AlphaDEX, Expense Ratio 0.70%) to name a few, each of them having ample exposure to “Big Pharma” names like IYH.

Given the recent bullish price action in the sector, it would not be surprising to see accelerated activity in CURE (Direxion Daily Healthcare Bull 3X, Expense Ratio 0.95%) as well, as the fund is typically utilized by short term traders with a bullish stance on the sector looking to leverage returns.

iShares US Healthcare

For more information on Street One ETF research and ETF trade execution/liquidity services, contact Paul Weisbruch at pweisbruch@streetonefinancial.com.

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