State Street who manufactures this ETF has decided they want to dominate this area and have cut their fees remarkably. They are down to 3 and 5 basis points. You’ve got to go into a small cap ETF. The price to book on this one is a little bit better than the iShares one, although certainly not as large.
This one has all the big U.S. banks. About 49% U.S Banks, 30% insurance companies, also, and about 10% Berkshire. It really represents the heavyweight in the U.S. financial sectors and he thinks they are going to do very well. Obviously not just because of the tax cuts, but because of Dodd-Frank and also with increasing interest rates they are going to get better net interest margins. Lots of reasons to like the U.S. banks.