IAI - ETF AI Analysis
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iShares U.S. Broker-Dealers & Securities Exchanges ETF (IAI)
Rating:73Outperform
Price Target:―
Positive Factors
Strong Performance From Major Holdings
Large positions like Goldman Sachs, Morgan Stanley, and Interactive Brokers have shown strong gains this year, helping support the ETF’s overall results.
Focused Exposure to U.S. Financials
The fund is heavily invested in U.S. broker-dealers and exchanges, giving targeted exposure to a key part of the financial sector that has recently performed steadily.
Solid Asset Base
The ETF manages a sizable pool of assets, which suggests it is established and has attracted meaningful investor interest.
Negative Factors
High Concentration in Top Holdings
A few stocks make up a large share of the portfolio, which increases the impact that any weakness in these companies can have on the fund.
Several Lagging Core Positions
Important holdings such as Robinhood, S&P Global, Intercontinental Exchange, CME Group, Moody’s, and MSCI have shown weak or negative performance this year, which can drag on returns.
Narrow Sector and Geographic Focus
Almost all of the ETF’s assets are in U.S. financial companies, so investors are highly exposed to downturns in that single sector and market.
IAI vs. SPDR S&P 500 ETF (SPY)
AUM1.35B
RegionNorth America
Expense Ratio0.38%
Beta1.20
IssueriShares
Inception DateMay 01, 2006
Dividend Yield1.1%
Asset ClassEquity
Index TrackedDJ US Select / Investment Services
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume69,948
30 Day Avg. Volume104,869
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
219.48Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering35
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
IAI Summary
IAI is an ETF that follows the DJ US Select Investment Services index, focusing on U.S. financial companies that run stock exchanges and provide brokerage and trading services. Its holdings include well-known names like Goldman Sachs and Morgan Stanley, along with major trading platforms and market data providers. Someone might invest in IAI to get targeted exposure to the U.S. financial sector and benefit from the growth of trading and investing activity without picking individual stocks. A key risk is that it is heavily concentrated in financial companies, so its value can rise or fall sharply with changes in the financial markets and the economy.
How much will it cost me?The iShares U.S. Broker-Dealers & Securities Exchanges ETF (IAI) has an expense ratio of 0.38%, which means you’ll pay $3.80 per year for every $1,000 invested. This expense ratio is slightly higher than average for ETFs because it focuses on a specific sector and is passively managed to track a niche index. It’s still relatively affordable compared to actively managed funds.
What would affect this ETF?The iShares U.S. Broker-Dealers & Securities Exchanges ETF (IAI) could benefit from increased trading activity and innovation in financial technology, as well as economic growth that drives higher demand for brokerage and securities exchange services. However, it may face challenges from rising interest rates, which can impact market liquidity, and regulatory changes targeting financial institutions or trading platforms. Its heavy reliance on U.S.-based financial companies like Goldman Sachs and Morgan Stanley makes it sensitive to domestic economic conditions.
IAI Top 10 Holdings
IAI is essentially a bet on Wall Street’s dealmakers and trading hubs, with Goldman Sachs and Morgan Stanley doing most of the heavy lifting as their stocks keep rising and set the tone for the fund. Charles Schwab and Interactive Brokers add more fuel, benefiting from steady-to-strong momentum in retail and institutional trading. On the flip side, Robinhood is dragging the fund, while Moody’s and S&P Global have been more mixed, losing some steam this year. With all major holdings U.S.-based and firmly in capital markets, this ETF is highly concentrated in one financial niche.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Goldman Sachs Group | 19.56% | $265.06M | $289.33B | 41.64% | 73 Outperform | |
| Morgan Stanley | 16.29% | $220.76M | $320.39B | 47.45% | 76 Outperform | |
| Charles Schwab | 9.14% | $123.81M | $181.69B | 6.75% | 74 Outperform | |
| Intercontinental Exchange | 4.78% | $64.82M | $87.25B | -15.45% | 80 Outperform | |
| Moody's | 4.60% | $62.28M | $83.70B | -6.49% | 77 Outperform | |
| CME Group | 4.35% | $58.96M | $95.45B | -3.97% | 74 Outperform | |
| Robinhood | 4.31% | $58.38M | $80.97B | -15.96% | 68 Neutral | |
| S&P Global | 4.18% | $56.65M | $123.71B | -24.70% | 73 Outperform | |
| Nasdaq | 3.81% | $51.64M | $53.41B | -1.10% | 78 Outperform | |
| MSCI | 3.76% | $50.91M | $42.38B | 2.56% | 62 Neutral |
IAI Technical Analysis
Neutral
―
Price Trends
183.99
Positive
177.48
Positive
176.67
Positive
Market Momentum
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For IAI, the sentiment is Neutral. The current price of undefined is equal to the 20-day moving average (MA) of 188.71, equal to the 50-day MA of 183.99, and equal to the 200-day MA of 176.67, indicating a neutral trend. The MACD of ― indicates undefined momentum. The RSI at ― is undefined, neither overbought nor oversold. The STOCH value of ― is undefined, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IAI.
IAI Peer Comparison
Comparison Results
Performance Comparison
IAI
iShares U.S. Broker-Dealers & Securities Exchanges ETF
186.26
13.34
7.71%
KBWB
Invesco KBW Bank ETF
―
―
―
KRE
SPDR S&P Regional Banking ETF
―
―
―
IYF
iShares U.S. Financials ETF
―
―
―
FNCL
Fidelity MSCI Financials Index ETF
―
―
―
IYG
iShares US Financial Services ETF
―
―
―
Glossary
BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
DisclaimerThis AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―
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