Follow Goldman Sachs Group Inc With These Equity ETFs [Vanguard Value ETF, iShares Dow Jones US Health Care(ETF)]

iShares North American Tech-Multimedia Networking ETF (NYSEARCA:IGN)

Since the information technology sector holds a large basket of weak balance sheet stocks and accounts for more than half of the market’s outperformance so far this year, investors could find IGN an intriguing pick. This ETF provides a concentrated exposure to the domestic multimedia networking securities by tracking the S&P North American Technology-Multimedia Networking Index.

Holding 25 securities in its basket, the product is heavily concentrated on some of the lowest valuation and weak balance sheet stocks. Some of these are Cisco (CSCO), Qualcomm (QCOM), F5 Networks (FFIV), Motorola (MSI) and Juniper (JNPR) which collectively account for nearly 43% of total assets (see: all the technology ETFs here).

The fund has accumulated $323.5 million while sees a moderate volume of nearly 68,000 shares a day. Expense ratio comes in at 0.47%. The fund is up 7.7% so far this year and has a Zacks ETF Rank of 2 with High risk outlook.

iShares U.S. Healthcare Providers ETF (NYSEARCA:IHF)

Investors playing on Goldman’s prediction could also focus purely on the healthcare sector with IHF, as the fund holds a number of stocks with a weak balance sheet that have outperformed its rivals. This ETF provides exposure to U.S. companies that provide health insurance, diagnostics and specialized treatment by tracking the Dow Jones U.S. Select Healthcare Providers Index.

In total, the fund holds 49 securities in its basket with the largest allocation going to United Health (UNH) and WellPoint (WLP) at 13.43% and 6.94%, respectively. Other firms hold less than 2.8% of IHF. The fund has been able to manage $511.1 million in its asset base while volume is light. It charges 43 bps in annual fees and expenses.

The ETF returned about 13% in the year-to-date time frame and has a Zacks ETF Rank of 3 or ‘Hold’ rating with Medium risk outlook.

This article is brought to you courtesy of Sweta Killa.

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