The improving economy has lifted Wall Street’s big banks out of their rut, but smaller community and regional bank exchange traded funds (ETFs) have yet to experience a similar rebound. What gives?

While Main Street bankers are experiencing a rebound thanks to higher consumption, a stabilizing housing market and an expanding economy, smaller banks are just now starting to catch up. [Bigger Is Better In Financial ETFs, for Now.]

SPDR KBW Regional Bank (NYSEArca: KRE) has already risen 22% since November, whereas the SPDR KBW Capital Markets ETF (NYSEArca: KCE) has only gained 13.7%. Commercial and regional banks will likely be enjoying the rebound in lending and reduction in loan losses for this year, writes Anthony Mirhaydari for InvestorPlace.

When choosing ETFs to play regional banks, look under the hood, because some banks that would be considered far beyond “regional” make surprise appearances, according to ETF Professor at Benzinga.

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