We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Should You Invest in the Invesco Dorsey Wright Industrials Momentum ETF (PRN)?
Read MoreHide Full Article
Designed to provide broad exposure to the Industrials - Broad segment of the equity market, the Invesco Dorsey Wright Industrials Momentum ETF (PRN - Free Report) is a passively managed exchange traded fund launched on 10/12/2006.
Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency. They are excellent vehicles for long term investors.
Investor-friendly, sector ETFs provide many options to gain low risk and diversified exposure to a broad group of companies in particular sectors. Industrials - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 3, placing it in top 19%.
Index Details
The fund is sponsored by Invesco. It has amassed assets over $202.11 million, making it one of the average sized ETFs attempting to match the performance of the Industrials - Broad segment of the equity market. PRN seeks to match the performance of the DWA Industrials Technical Leaders Index before fees and expenses.
The Dorsey Wright??Industrials Technical Leaders Index identifies companies that are showing relative strength and are composed of at least 30 common stocks from a universe of approximately 3,000 common stocks traded on US exchanges.
Costs
Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio.
Annual operating expenses for this ETF are 0.60%, making it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 0.36%.
Sector Exposure and Top Holdings
It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation in the Industrials sector--about 92.80% of the portfolio.
Looking at individual holdings, Builders Firstsource Inc (BLDR - Free Report) accounts for about 5.53% of total assets, followed by Ametek Inc (AME - Free Report) and Saia Inc (SAIA - Free Report) .
The top 10 holdings account for about 42.29% of total assets under management.
Performance and Risk
The ETF return is roughly 13.75% and was up about 50.90% so far this year and in the past one year (as of 03/20/2024), respectively. PRN has traded between $89.48 and $135.34 during this last 52-week period.
The ETF has a beta of 1.09 and standard deviation of 22.80% for the trailing three-year period, making it a medium risk choice in the space. With about 44 holdings, it has more concentrated exposure than peers.
Alternatives
Invesco Dorsey Wright Industrials Momentum ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, PRN is an excellent option for investors seeking exposure to the Industrials ETFs segment of the market. There are other additional ETFs in the space that investors could consider as well.
Vanguard Industrials ETF (VIS - Free Report) tracks MSCI US Investable Market Industrials 25/50 Index and the Industrial Select Sector SPDR ETF (XLI - Free Report) tracks Industrial Select Sector Index. Vanguard Industrials ETF has $5.09 billion in assets, Industrial Select Sector SPDR ETF has $17.55 billion. VIS has an expense ratio of 0.10% and XLI charges 0.09%.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Should You Invest in the Invesco Dorsey Wright Industrials Momentum ETF (PRN)?
Designed to provide broad exposure to the Industrials - Broad segment of the equity market, the Invesco Dorsey Wright Industrials Momentum ETF (PRN - Free Report) is a passively managed exchange traded fund launched on 10/12/2006.
Passively managed ETFs are becoming increasingly popular with institutional as well as retail investors due to their low cost, transparency, flexibility and tax efficiency. They are excellent vehicles for long term investors.
Investor-friendly, sector ETFs provide many options to gain low risk and diversified exposure to a broad group of companies in particular sectors. Industrials - Broad is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 3, placing it in top 19%.
Index Details
The fund is sponsored by Invesco. It has amassed assets over $202.11 million, making it one of the average sized ETFs attempting to match the performance of the Industrials - Broad segment of the equity market. PRN seeks to match the performance of the DWA Industrials Technical Leaders Index before fees and expenses.
The Dorsey Wright??Industrials Technical Leaders Index identifies companies that are showing relative strength and are composed of at least 30 common stocks from a universe of approximately 3,000 common stocks traded on US exchanges.
Costs
Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio.
Annual operating expenses for this ETF are 0.60%, making it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 0.36%.
Sector Exposure and Top Holdings
It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation in the Industrials sector--about 92.80% of the portfolio.
Looking at individual holdings, Builders Firstsource Inc (BLDR - Free Report) accounts for about 5.53% of total assets, followed by Ametek Inc (AME - Free Report) and Saia Inc (SAIA - Free Report) .
The top 10 holdings account for about 42.29% of total assets under management.
Performance and Risk
The ETF return is roughly 13.75% and was up about 50.90% so far this year and in the past one year (as of 03/20/2024), respectively. PRN has traded between $89.48 and $135.34 during this last 52-week period.
The ETF has a beta of 1.09 and standard deviation of 22.80% for the trailing three-year period, making it a medium risk choice in the space. With about 44 holdings, it has more concentrated exposure than peers.
Alternatives
Invesco Dorsey Wright Industrials Momentum ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, PRN is an excellent option for investors seeking exposure to the Industrials ETFs segment of the market. There are other additional ETFs in the space that investors could consider as well.
Vanguard Industrials ETF (VIS - Free Report) tracks MSCI US Investable Market Industrials 25/50 Index and the Industrial Select Sector SPDR ETF (XLI - Free Report) tracks Industrial Select Sector Index. Vanguard Industrials ETF has $5.09 billion in assets, Industrial Select Sector SPDR ETF has $17.55 billion. VIS has an expense ratio of 0.10% and XLI charges 0.09%.
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.