Designed to provide broad exposure to the Large Cap Value segment of the US equity market, the SPDR Dow Jones Industrial Average ETF (DIA Quick QuoteDIA - Free Report) is a passively managed exchange traded fund launched on January 13, 1998.

The fund is sponsored by State Street Investment Management. It has amassed assets over $40.08 billion, making it one of the largest ETFs attempting to match the Large Cap Value segment of the US equity market.

Why Large Cap Value

Large cap companies typically have a market capitalization above $10 billion. Considered a more stable option, large cap companies boast more predictable cash flows and are less volatile than their mid and small cap counterparts.

Value stocks have lower than average price-to-earnings and price-to-book ratios. They also have lower than average sales and earnings growth rates. While value stocks have outperformed growth stocks in nearly all markets when you consider long-term performance, growth stocks are more likely to outpace value stocks in strong bull markets.

Costs

Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive counterparts if all other fundamentals are the same.

Annual operating expenses for this ETF are 0.16%, making it one of the cheaper products in the space.

It has a 12-month trailing dividend yield of 1.49%.

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 to the Financials sector -- about 26.5% of the portfolio. Information Technology and Consumer Discretionary round out the top three.

Looking at individual holdings, Goldman Sachs Group Inc (GS) accounts for about 9.86% of total assets, followed by Microsoft Corp (MSFT) and Caterpillar Inc (CAT).

The top 10 holdings account for about 54% of total assets under management.

Performance and Risk

DIA seeks to match the performance of the Dow Jones Industrial Average before fees and expenses. The Dow Jones Industrial Average is composed of thirty blue-chip U.S. stocks.

The ETF has gained about 6.42% so far this year and is up about 12.12% in the last one year (as of 08/19/2025). In the past 52-week period, it has traded between $376.48 and $450.94.

The ETF has a beta of 0.91 and standard deviation of 14.6% for the trailing three-year period, making it a medium risk choice in the space. With about 31 holdings, it has more concentrated exposure than peers.

Alternatives

SPDR Dow Jones Industrial Average ETF holds a Zacks ETF Rank of 1 (Strong Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, DIA is an excellent option for investors seeking exposure to the Style Box - Large Cap Value segment of the market. There are other additional ETFs in the space that investors could consider as well.

The Schwab U.S. Dividend Equity ETF (SCHD) and the Vanguard Value ETF (VTV) track a similar index. While Schwab U.S. Dividend Equity ETF has $70.84 billion in assets, Vanguard Value ETF has $141.70 billion. SCHD has an expense ratio of 0.06% and VTV charges 0.04%.

Bottom-Line

While an excellent vehicle for long term investors, passively managed ETFs are a popular choice among institutional and retail investors due to their low costs, transparency, flexibility, and tax efficiency.

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.