About VFH ETF
VFH is a one of the best ETFs in the US financials sector and tracks the performance of the MSCI US Investable Market Financials 25/50 Index. It holds slightly more stocks than the benchmark. Banking firms account for 39.2% of the portfolio's assets, followed by real estate firms at 23% and insurance firms at 21.8%.
The 5 Top Bank ETFs
About the Fund Manager:
Founded in 1975, Vanguard is the second largest asset manager in the world managing $5.1T. It is the largest provider of mutual funds and the second-largest provider of exchange-traded funds (ETFs) in the world after BlackRock's iShares
How did we identify this ETF:
A complete pool of 2100+ ETFs are screened on various qualitative and quantitative parameters to evaluate efficiency, tradability and fit. The metrics used were alpha, beta and R-Squared with respect to the segment benchmark and ETF specific metrics such as expense ratio, drawdown, volatility and the overall rating. We evaluate all ETFs and assign a composite score based on our analysis and then select the top ones in a category based on that comprehensive score by the inhouse research / quant analysts team. VFH is distinguished by a low fee compared to its competitors within its segment, efficient tracking and excelling underlying liquidity. The strategy is rebalanced on a quarterly basis with the rebalancing mechanism being determined by an algorithm that takes into account the overall performance of the strategy so far.