iShares U.S. Energy ETF Continues its Impressive Performance, Up by 59% YTD

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Updated: Nov 5, 2021, 11:49 UTC

iShares U.S. Energy ETF (IYE) has rallied by nearly 59% since the start of the year and is on track to record further growth before the end of 2021.

IYE Up by 59% YTD

The iShares U.S. Energy ETF (IYE) is a passively managed exchange-traded fund that offers retail and institutional investors broad exposure to the Energy – Broad segment of the equity market. IYE is sponsored by BlackRock and currently has more than $2.46 billion in assets under management, making it one of the biggest ETFs seeking to match the performance of the Energy – Broad segment of the stock market.

The ETF is designed to align with the performance of the Dow Jones U.S. Oil & Gas Index before fees and expenses. The Dow Jones U.S. Oil & Gas Index is crucial as it measures the performance of the energy sector of the United States stock market.

For IYE, the annual operation expenses currently stand at 0.41%, making it one of the cheapest funds in the space. The fund also has a 12-month trailing dividend yield of 2.63%. IYE has the heaviest allocation in the energy industry, approximately 98.60% of its portfolio.

Since the start of the year, the iShares U.S. Energy ETF has recorded a 59% increase in value. Over the past 12 months, IYE’s value is up by 105.28%, making it one of the best performing funds in the energy sector. The fund has traded between $15.53 and $32.06 over the past 52-weeks.

IYE ETF chart. Source: FXEMPIRE

IYE Could Top $35 Soon

IYE has been very consistent with its performance over the past 12 months. In the past three months, the fund’s value has increased by more than 21%. If the ETF maintains this current level of performance, then it could surpass the $35 level over the coming weeks and months.

At the time of writing, IYE is up by 0.11% and trading at $31.50 per share. The fund currently has a beta of 1.69 and a standard deviation of 40.48% for the past three years, making it a high-risk fund in the energy sector. Despite that, the fund has a more concentrated exposure than peers.