Designed to provide broad exposure to the Utilities - Infrastructure segment of the equity market, the iShares U.S. Infrastructure ETF (IFRA Quick QuoteIFRA - Free Report) is a passively managed exchange traded fund launched on April 3, 2018.

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.

Sector ETFs also provide investors access to a broad group of companies in particular sectors that offer low risk and diversified exposure. Utilities - Infrastructure is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 12, placing it in bottom 25%.

Index Details

The fund is sponsored by Blackrock. It has amassed assets over $4.16 billion, making it one of the larger ETFs attempting to match the performance of the Utilities - Infrastructure segment of the equity market. IFRA seeks to match the performance of the NYSE FACTSET U.S. INFRASTRUCTURE INDEX before fees and expenses.

The NYSE FactSet U.S. Infrastructure Index comprises of equities of U.S. companies that have infrastructure exposure and that could benefit from a potential increase in domestic infrastructure activities.

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 0.3%, making it one of the least expensive products in the space.

It has a 12-month trailing dividend yield of 1.59%.

Sector Exposure and Top Holdings

While ETFs offer diversified exposure, which minimizes single stock risk, a deep look into a fund's holdings is a valuable exercise. 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 39.7% of the portfolio. Utilities and Materials round out the top three.

Looking at individual holdings, Caterpillar Inc (CAT) accounts for about 4.42% of total assets, followed by Nextera Energy Inc (NEE) and Union Pacific Corp (UNP).

The top 10 holdings account for about 24.83% of total assets under management.

Performance and Risk

The ETF return is roughly 16.98% and it's up approximately 29.13% so far this year and in the past one year (as of 06/08/2026), respectively. IFRA has traded between $47.65 and $62.87 during this last 52-week period.

The ETF has a beta of 0.95 and standard deviation of 16.22% for the trailing three-year period. With about 168 holdings, it effectively diversifies company-specific risk.

Alternatives

iShares U.S. Infrastructure 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, IFRA is an outstanding option for investors seeking exposure to the Utilities/Infrastructure ETFs segment of the market. There are other additional ETFs in the space that investors could consider as well.

First Trust NASDAQ Clean Edge Smart Grid Infrastructure ETF (GRID) tracks NASDAQ OMX Clean Edge Smart Grid Infrastructure Index and the Global X U.S. Infrastructure Development ETF (PAVE) tracks INDXX U.S. Infrastructure Development Index. First Trust NASDAQ Clean Edge Smart Grid Infrastructure ETF has $11.13 billion in assets, Global X U.S. Infrastructure Development ETF has $13.58 billion. GRID has an expense ratio of 0.56%, and PAVE charges 0.47%.

Bottom Line

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