A Dual-Thrust Investment: The iShares U.S. Aerospace & Defense ETF

A powerful confluence of two major trends is creating a compelling investment narrative. Soaring global defense expenditures and a robust post-pandemic recovery in air travel are providing a dual tailwind for the aerospace and defense sector. At the center of this dynamic is the iShares U.S. Aerospace & Defense ETF (ITA), a fund designed to capture the full potential of these converging forces. The critical question for investors is whether this momentum is sustainable.

The ETF employs a focused strategy, holding a select basket of 37 securities. This concentrated approach means performance is heavily influenced by its largest holdings, with the top ten positions accounting for approximately 75% of the fund’s assets. This provides targeted exposure to the most established and... Read more...