Confirming the recent strength of regional bank ETF is this fact: Over the past three months, KRU has delivered better than triple the returns of the Ultra Financials ProShares (NYSEArca: UYG), the double-leveraged answer to the iShares U.S. Financials ETF (NYSEArca: IYF). [Don’t Forget This Leveraged ETF]
Remember the rising rates advantage offered by regional banks. Last year, the SPDR fund rose less than 2% after soaring about 47% in 2013. The iShares fund (IAT), by contrast, returned 7.5% last year after a 38% gain the prior year,” according to the Wall Street Journal. KRE’s holdings have an average beta of +0.44 to moves in the US 10 Year Treasury.
KRU debuted in April 2010 and charges 0.95% per year.
ProShares Ultra S&P Regional Banking