PowerShares Unleashes Financial Sector ETFs | Page 2 of 2 | ETF Trends

“We think one of the reasons that investors may consider these funds right now is due to the attractive yield that these funds may offer,” says Fulton. “Over the course of the last year, the ETF industry has seen stead inflows into products that offer a respectable yield.”

Another appealing aspect of the ETFs, Fulton says, is that they provide investors with institutional level expertise with a single trade.

“The primary goals of these portfolios are to offer the potential of capital appreciation and dividend income.”

The launch of these ETFs seem well-timed: REITs have been outperforming the markets and Goldman Sachs went bullish on the sector on Thursday for the first time since the credit crisis. As a beaten-down sector, it has a long climb back to health. Many of the broad funds are still 50% and 60% off their 2007 highs. Before jumping in, check the trend lines. Many have gotten close, but have not crossed just yet.

Tisha Guerrero contributed to this article.