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Is iShares U.S. Power Infrastructure ETF (POWR) a Strong ETF Right Now?
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A smart beta exchange traded fund, the iShares U.S. Power Infrastructure ETF (POWR - Free Report) debuted on 01/31/2012, and offers broad exposure to the Utilities/Infrastructure ETFs category of the market.
What Are Smart Beta ETFs?
For a long time now, the ETF industry has been flooded with products based on market capitalization weighted indexes, which are designed to represent the broader market or a particular market segment.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
But, there are some investors who would rather invest in smart beta funds; these funds track non-cap weighted strategies, and are a strong option for those who prefer choosing great stocks in order to beat the market.
By attempting to pick stocks that have a better chance of risk-return performance, non-cap weighted indexes are based on certain fundamental characteristics, or a combination of such.
Methodologies like equal-weighting, one of the simplest options out there, fundamental weighting, and volatility/momentum based weighting are all choices offered to investors in this space, but not all of them can deliver superior returns.
Fund Sponsor & Index
Managed by Blackrock, POWR has amassed assets over $410.63 million, making it one of the average sized ETFs in the Utilities/Infrastructure ETFs. This particular fund seeks to match the performance of the S&P US POWER INFRASTRUCTURE SELECT INDEX before fees and expenses.
The S&P U.S. Power Infrastructure Select Index measures the performance of equity securities of U.S.-domiciled companies involved in U.S. power infrastructure.
Cost & Other Expenses
Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.
Annual operating expenses for this ETF are 0.40%, making it on par with most peer products in the space.
The fund has a 12-month trailing dividend yield of 5.51%.
Sector Exposure and Top Holdings
Even though ETFs offer diversified exposure that minimizes single stock risk, investors should also look at the actual holdings inside the fund. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation in the Utilities sector - about 45.9% of the portfolio. Industrials and Energy round out the top three.
Looking at individual holdings, Ge Vernova Inc (GEV) accounts for about 6.4% of total assets, followed by Eaton Plc (ETN) and Nextera Energy Inc (NEE).
Its top 10 holdings account for approximately 47.46% of POWR's total assets under management.
Performance and Risk
The ETF has gained about 17.06% and it's up approximately 0% so far this year and in the past one year (as of 07/07/2026), respectively. POWR has traded between $23.20 and $28.22 during this last 52-week period.
POWR has a beta of 0.45 and standard deviation of 0.00% for the trailing three-year period. With about 81 holdings, it effectively diversifies company-specific risk .
Alternatives
iShares U.S. Power Infrastructure ETF is a reasonable option for investors seeking to outperform the Utilities/Infrastructure ETFs segment of the market. However, there are other ETFs in the space which investors could consider.
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 $11.84 billion in assets, Global X U.S. Infrastructure Development ETF has $14.38 billion. GRID has an expense ratio of 0.56% and PAVE changes 0.47%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Utilities/Infrastructure ETFs
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.
Image: Bigstock
Is iShares U.S. Power Infrastructure ETF (POWR) a Strong ETF Right Now?
A smart beta exchange traded fund, the iShares U.S. Power Infrastructure ETF (POWR - Free Report) debuted on 01/31/2012, and offers broad exposure to the Utilities/Infrastructure ETFs category of the market.
What Are Smart Beta ETFs?
For a long time now, the ETF industry has been flooded with products based on market capitalization weighted indexes, which are designed to represent the broader market or a particular market segment.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
But, there are some investors who would rather invest in smart beta funds; these funds track non-cap weighted strategies, and are a strong option for those who prefer choosing great stocks in order to beat the market.
By attempting to pick stocks that have a better chance of risk-return performance, non-cap weighted indexes are based on certain fundamental characteristics, or a combination of such.
Methodologies like equal-weighting, one of the simplest options out there, fundamental weighting, and volatility/momentum based weighting are all choices offered to investors in this space, but not all of them can deliver superior returns.
Fund Sponsor & Index
Managed by Blackrock, POWR has amassed assets over $410.63 million, making it one of the average sized ETFs in the Utilities/Infrastructure ETFs. This particular fund seeks to match the performance of the S&P US POWER INFRASTRUCTURE SELECT INDEX before fees and expenses.
The S&P U.S. Power Infrastructure Select Index measures the performance of equity securities of U.S.-domiciled companies involved in U.S. power infrastructure.
Cost & Other Expenses
Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.
Annual operating expenses for this ETF are 0.40%, making it on par with most peer products in the space.
The fund has a 12-month trailing dividend yield of 5.51%.
Sector Exposure and Top Holdings
Even though ETFs offer diversified exposure that minimizes single stock risk, investors should also look at the actual holdings inside the fund. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation in the Utilities sector - about 45.9% of the portfolio. Industrials and Energy round out the top three.
Looking at individual holdings, Ge Vernova Inc (GEV) accounts for about 6.4% of total assets, followed by Eaton Plc (ETN) and Nextera Energy Inc (NEE).
Its top 10 holdings account for approximately 47.46% of POWR's total assets under management.
Performance and Risk
The ETF has gained about 17.06% and it's up approximately 0% so far this year and in the past one year (as of 07/07/2026), respectively. POWR has traded between $23.20 and $28.22 during this last 52-week period.
POWR has a beta of 0.45 and standard deviation of 0.00% for the trailing three-year period. With about 81 holdings, it effectively diversifies company-specific risk .
Alternatives
iShares U.S. Power Infrastructure ETF is a reasonable option for investors seeking to outperform the Utilities/Infrastructure ETFs segment of the market. However, there are other ETFs in the space which investors could consider.
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 $11.84 billion in assets, Global X U.S. Infrastructure Development ETF has $14.38 billion. GRID has an expense ratio of 0.56% and PAVE changes 0.47%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Utilities/Infrastructure ETFs
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.