IJH “offers diversified exposure to U.S. mid-cap stocks. A low fee and a soundly constructed and reasonably representative benchmark give this ETF a great position to continue its long streak of producing superior risk-adjusted returns relative to its category peers over the long haul and underpin its Morningstar Analyst Rating of Gold,” said Morningstar in recent note.

IJH, which follows the S&P MidCap 400 Index, holds 401 stocks. The ETF devotes about a third of its weight to technology and financial services stocks. Industrial and consumer discretionary stocks combine for another 27%.

“Mid-cap stocks have been in the sweet spot with respect to their risk-adjusted performance since 1926,” said Morningstar. “Although they have historically had a higher return than large caps, they have also had a higher volatility and a higher beta, or more procyclical movement with the market. But the higher return has compensated investors for taking this increased risk.”

Rivals to IJH include the SPDR S&P MidCap 400 ETF (NYSEArca: MDY), Schwab U.S. Mid-Cap ETF (NYSEArca: SCHM) and the Vanguard Mid-Cap ETF (NYSEArca: VO), among others.

For more information on mid-caps, visit our mid-cap category.