FTEC VS IYW
5 min read
By Ron Koren, ETF Insider

FTEC VS IYW

Exchange-Traded Funds (ETFs) are increasingly becoming the preferred choice for investors seeking diversified exposure to various sectors and asset classes. In this article, we will conduct a comprehensive comparison between two popular ETFs: FTEC (Fidelity MSCI Information Technology Index ETF) and IYW (iShares U.S. Technology ETF). We'll delve into various aspects, including ETF tickers, full names, issuers, sectors, top holdings, capitalization, strategy, tracking methods, and exposure.

FTEC VS IYW: Overview

FTEC and IYW are both ETFs designed to provide exposure to the technology sector, but they have distinct differences in their investment strategies. FTEC aims to track the performance of the MSCI USA Information Technology Index, while IYW seeks to replicate the performance of the Dow Jones U.S. Technology Capped Index. These differences in focus can lead to variations in returns and risk profiles, which we will explore in detail.

FTEC VS IYW: ETF Tickers and Full Names

Understanding the tickers and full names of ETFs is crucial for investors. FTEC is represented by its ticker symbol, and its full name is the Fidelity MSCI Information Technology Index ETF. In contrast, IYW uses a different ticker symbol, and its full name is the iShares U.S. Technology ETF. Familiarizing yourself with these identifiers is the first step in evaluating ETFs for your investment portfolio.

FTEC overlap FTEC VS IYWFTEC overlap FTEC VS IYW

FTEC VS IYW: ETF Issuers

ETF issuers play a vital role in the management and performance of these financial instruments. FTEC is issued by Fidelity, a well-known name in the financial industry. On the other hand, IYW is issued by BlackRock's iShares, another prominent player in the ETF market. Both issuers have a track record of managing ETFs effectively, but it's essential to consider the reputation and expertise of the issuer when making investment decisions.

FTEC VS IYW: ETF Sectors and Top Holdings

The technology sector is vast and encompasses various industries and sub-sectors. FTEC provides exposure to a broad range of technology companies, including giants like Apple, Microsoft, and Alphabet (Google). IYW, too, offers exposure to technology companies but may have a slightly different mix of top holdings. Analyzing the sectors and top holdings of these ETFs can help investors assess their alignment with specific investment goals and risk tolerance.

FTEC VS IYW: ETF Capitalization and Strategy

Capitalization and investment strategy are crucial factors to consider when evaluating ETFs. FTEC's strategy is to replicate the performance of the MSCI USA Information Technology Index, which is composed of large-cap and mid-cap technology stocks. In contrast, IYW focuses on the Dow Jones U.S. Technology Capped Index, which may have variations in capitalization and sector exposure. Understanding these differences can aid investors in making informed decisions based on their risk preferences and investment objectives.

FTEC VS IYW: ETF Tracking and Exposure

Both FTEC and IYW aim to provide exposure to the technology sector, but their tracking methods differ. FTEC uses a tracking index that reflects the performance of technology stocks, while IYW follows the Dow Jones U.S. Technology Capped Index. These tracking methods can result in variations in returns and correlations with the broader market. It's essential for investors to comprehend these nuances to select the most suitable ETF for their investment strategy.

Conclusion

FTEC and IYW are distinct ETFs, each offering a unique approach to gaining exposure to the technology sector. For investors seeking in-depth insights into holdings, correlations, overlaps, and other critical information about these and other financial instruments, ETF Insider is the ultimate tool. With its user-friendly app, it provides comprehensive details to aid investors in making informed decisions.

Disclaimer: This article does not provide any investment advisory services.

FTEC ETF issuer
FTEC ETF official page

IYW quote and analysis

Discover the top holdings, correlations, and overlaps of ETFs using our visualization tool.
Our app allows you to build and track your portfolio.
To learn more about the IYW iShares U.S. Technology ETF, access our dedicated page now.

Get started