Stadion’s Tactical Growth strategy also has smaller stakes in the overweight-rated iShares U.S. Aerospace & Defense ETF (NYSEArca: ITA) and the iShares U.S. Real Estate ETF (NYSEArca: IYR), according to S&P Capital IQ.
Like other rate-sensitive REIT ETFs, IYR was a laggard last year as Treasury yields surged. However, IYR is up 12.1% this year and has pulled in $1.1 billion in new assets in just the past week as Treasury yields have retreated. [Diversify With Alternative ETFs]
The strategy’s bond allocations include the iShares iBoxx $ Investment Grade Corporate Bond ETF (NYSEArca: LQD) and the iShares TIPS ETF (NYSEArca: TIP), according to S&P Capital IQ. The research firm rates LQD overweight and TIP marketweight.
iShares U.S. Real Estate ETF
Tom Lydon’s clients own shares of LQD and SPY.