Although S&P Capital IQ has an overweight rating on XLF, the largest financial services ETF, the research firm advises a 14.7% weight to the sector. That is 135 basis points below the weight allocated to the sector in the SPDR S&P 500 ETF (NYSEArca: SPY). [Bank ETFs Face Headwinds]
XLF has added $630 million in new assets this year.
Financial Select Sector SPDR
Tom Lydon’s clients own shares of SPY.