5-Star ETFs Poised to Pop: iShares S&P Global Utilities

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, the iShares S&P Global Utilities ETF (NYS: JXI) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at iShares S&P Global Utilities and see what CAPS investors are saying about the ETF right now.

iShares S&P Global Utilities facts


September 2006

Total Assets

$240 million

Investment Approach

Seeks investment results that correspond to the S&P Global 1200 Utilities Sector Index, which includes electric, gas or water utilities, or companies that operate as independent producers and/or distributors of power.

Expense Ratio


1-Year / 3-Year / 5-Year Annual Returns

(1%) / 4.2% / (2.3%)

Top Holdings with High CAPS Rating (4 or 5 stars) and Portfolio Weight

(NYS: SO) (4.3%)
(NYS: NGG) (3.8%)
(NYS: D) (3.2%)

Dividend Yield



iShares Dow Jones U.S. Utilities (NYS: IDU)
Vanguard Utilities (NYS: VPU)

Source: Morningstar and Motley Fool CAPS.

On CAPS, all 40 of the members who have rated iShares S&P Global Healthcare believe the ETF will outperform the S&P 500 going forward. These bulls include pkt005a and reddingrunner.

Having gotten on board a few years ago, pkt005a succinctly summed up the bull case: "As the emerging markets develop, they will need electricity, gas, water, and waste disposal. Pure simple thermo. An ETF play here protects from the considerable political risks."

iShares S&P Global Healthcare even sports a juicy dividend yield of 4.3%. That's higher than that of other utility ETFs such as iShares Dow Jones U.S. Utilities (3.5%) and Vanguard Utilities (3.6%).

CAPS All-Star reddingrunner expands on the outperform argument:

Perfect example of megatrend investing. Developing nations are seeing hordes of people who formerly did not have utilities moving up into real housing with real utilities. What we have here are cheap stocks with phenomenal growth prospects and minimal to no competition. Wowzit!

What do you think about iShares S&P Global Utilities, or any other ETF for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional ETFs is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!

Interested in another easy way to trackiShares S&P Global Utilities?Add it to your watchlist.

At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of Southern, National Grid, and Dominion. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

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