Financial ETF

The largest ETF that hones in on the Financial Equity sector, XLF (Financial Select Sector SPDR, Expense Ratio 0.18%), is the net leader in creation flows among all ETFs in recent sessions, attracting north of $700 million.

The top holding is now actually Berkshire Hathaway Inc. (Class B) (BRK.B), at 8.46% of the underlying index, followed by JPM (8.19%), WFC (8.12%), C (6.19%), and BAC (5.81%).

Just four trading sessions ago the ETF traded at a new multi-year intraday high of $20.35 before regressing back to current levels ($19.83).

XLF has reeled in an impressive $2.5 billion year to date, adding to its impressive asset base ($13.5 billion presently).

The second largest ETF in the greater “Financials” category, KBE (SPDR S&P Bank, Expense Ratio 0.35%) has pulled in nearly $200 million itself year to date, and has a much different makeup than the decidedly “money center/large cap” slant of XLF for example.

Top holdings in KBE are FNFG, CBSH, PNC, FITB, and RF and the fund leans “mid cap.”

Other Financials based ETFs that have had a strong 2013 thus far in terms of attracting new assets include KRE (SPDR S&P Regional Banking, Expense Ratio 0.35%) adding $175 million YTD, VFH (Vanguard Financials, Expense Ratio 0.19%, +$231 mln), IYF (iShares DJ U.S. Financial Sector, Expense Ratio 0.48%, $+315 mln), IYG (iShares DJ U.S. Financial Services, Expense Ratio 0.48%, +$33 mln), PSP (PowerShares Listed Private Equity, Expense Ratio 0.60%, +$57 mln), IAT (iShares DJ U.S. Regional Banks, Expense Ratio 0.48%, +$165 mln), and KIE (SPDR S&P Insurance, Expense Ratio 0.35%, +$156 mln) to name a few.