For tech exposure, there are a number of broad ETFs to select from, including the Technology Select Sector SPDR (NYSEArca: XLK), iShares U.S. Technology ETF (NYSEArca: IYW) and Vanguard Information Technology ETF (NYSEArca: VGT). XLK tracks the tech sector from the S&P 500 index. IYW also tracks a similar group of tech companies taken from the Dow Jones U.S. Technology Index and does not include telecom stocks. VGT, on the other hand, includes a small position in information technology services companies. [Look to Tech ETFs for Growth Opportunities]
“From an economic perspective, the U.S. is showing signs of improvement, from the housing point of view, from consumer, the labor market,” Kostin said. “All of those would suggest the economy is getting better, which would suggest, again, strategically, you want to be in more cyclicals and lower valuation stocks.”
For more information on market sectors, visit our sector ETFs category.
Max Chen contributed to this article.