Infrastructure ETFs

Infrastructure ETFs

• 11/07/2021 – Five ETFs poised to gain ground from the bipartisan infrastructure bill

1. U.S. senators have finalized the content of a $1T bipartisan infrastructure bill — and infrastructure, transportation, clean water and broadband ETFs might find themselves poised for future gains.
2. The bill aims to spend money over a five-year time horizon on areas such as roads, bridges, mass transit, high-speed internet and replacing of lead pipes for cleaner drinking water.
3. Here are five ETFs that could benefit:

Infrastructure ETFs

1. Industrial Select Sector SPDR ETF (NYSEARCA:XLI) which seeks to invests in a wide array of industrial companies that impact the road and rail industry, building products space and construction/engineering can see potential momentum build.
2. XLI has YTD returns of +16.73%, an expense ratio of 0.12% and has 77 total holdings.
3. Another ETF that provides exposure to infrastructure activity is the Global X Funds Global X U.S. Infrastructure Development ETF (BATS:PAVE).
4. The fund invests in firms involved in U.S. production of raw materials, heavy equipment, engineering and construction.
5. PAVE has provided market participants with a +24.85% YTD return, has an expense ratio of 0.47% and 100 holdings.

Clean Water ETFs

1. Invesco Water Resources Portfolio ETF (NASDAQ:PHO) is an ETF that invests in businesses that create products designed to conserve and purify water for homes, businesses and industries.
2. PHO has pulled in returns of +22.20%. It has an expense ratio of 0.60% and 38 holdings.
3. Another water-related fund is the First Trust Water ETF (NYSEARCA:FIW), which focuses on the potable-water and wastewater industries.
4. FIW has yielded investors with a +21.33% YTD return and has an expense ratio of 0.54%. It has a total of 37 holdings.

Broadband ETF

1. Defiance Next Gen Connectivity ETF (NYSEARCA:FIVG) is a pure-play ETF that delivers exposure to the carrier-grade networking space, including cellular antennas and routers, mobile network operators, satellite-based communications and other areas.
2. FIVG has gained +14.43% YTD while providing its users with an expense ratio of 0.30% and 90 holdings.