Those are all cap-weighted products, but the First Trust Health Care AlphaDEX Fund (NYSEArca: FXH) and the First Trust NYSE Arca Biotechnology Index Fund (NYSEArca: FBT), two smart beta ETFs, have hauled in over $432 million combined. The PowerShares Dynamic Pharmaceuticals Portfolio (NYSEArca: PJP) and the PowerShares Dynamic Biotechnology & Genome Portfolio (NYSEArca: PBE) are two of that issuer’s seven best ETFs in terms of 2014 inflows, according to issuer data.
Although biotech ETFs have proven to be prolific asset gatherers, the group’s ascent has stoked talk of a biotech bubble due to valuations that are twice the industry’s already rich historical premium to the broader market. The iShares Nasdaq Biotechnology ETF (NasdaqGS: IBB) and the SPDR S&P Biotech ETF (NYSEArca: XBI), which are up an average of almost 23% this year, have brought in a combined $924 million in 2014. [Health Care ETFs Face Lofty Valuations]
Led by XBI, all five of the major biotech ETFs have traded higher this year while IBB is the inflows leader. IBB, the largest biotech by assets, has ranked among the 10 best non-leveraged sector or industry ETFs for three consecutive years.
iShares Nasdaq Biotechnology ETF
