Transportation ETF
This Transportation ETF is full of delivery and logistics companies. Transportation by planes, trains, ships, trucks, they all are included in this ETF. This transportation ETF is very depended upon market conditions as transportation is depended upon transactions (sales).
Oil prices also play a major role here as transportation and fuel are intertwined. This transportation ETF is particularly interesting to enter just after a slowdown in the economy. With market conditions improving this transportation ETF will rise simultaneously. Beware of slumps in the economy as this transportation ETF will go down too and most often for years to come.
iShares Transportation Average ETF
This iShares Transportation ETF is tracking the Dow Jones Transportation Average index. There are only 20 company stocks included in this ETF. Air freight and logistics are the largest sub-market sector here with a 28% share.
Trains come in second with a 23% share. Truckers are third with a 22% share. Airline companies are good for 18% and Shipping has a 7% share.
The largest company here is Fedex with a 11% share followed by UPS with a share of 8%. Third is railway company Kansas City Southern with a 7% share.
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iShares Transportation Average ETF info:
ETF provider: iShares (BlackRock)
Ticker: IYT
ISIN: US4642871929
Currency: Dollar
Exchange: NYSE Arca