Although EZY features a 10.2% weight to energy stocks and ConocoPhillips (NYSE: COP) is the fund’s second-largest holding, EZY is underweight energy compared to rivals such as the iShares S&P 500 Value ETF (NYSEArca: IVE) and the Vanguard Value ETF (NYSEArca: VTV).
On the other hand, EZY is overweight consumer discretionary, industrial and technology stocks compared to the aforementioned rivals. Those sectors combine for 38.7% of EZY’s weight, which along with the ETF’s substantial allocation to bank stocks position the fund nicely in the event interest rates rise. [Fight Inflation With Dividend ETFs]
Consumer discretionary is the worst-performing sector in the S&P 500 this year and that has been a drag on EZY. However, it is noteworthy that the ETF is not exposed to Internet or small-cap specialty retailers that have been among the primary culprits behind the discretionary sector’s weakness. Plus, the Consumer Discretionary Select Sector SPDR (NYSEArca: XLY) is showing signs of life with a 3.4% gain over the past month. [Positioning for a Discretionary Rebound]
EZY, which has $26.7 million in assets under management and charges 0.38%, is up 4.2% year-to-date.
WisdomTree LargeCap Value Fund
