(IXC) iShares Global Energy - Ratings and Ratios

The iShares Global Energy ETF (IXC) is a straightforward way to gain exposure to the global energy sector through a diversified basket of stocks. The fund is designed to track the performance of its underlying index, which focuses on energy companies worldwide. This includes firms involved in oil, gas, coal, and other energy-related activities.

From a strategy perspective, the ETF allocates at least 80% of its assets to securities in its index or to investments that closely mirror those securities. This means the fund stays tightly aligned with the energy sectors performance. The remaining 20% can be invested in derivatives like futures and options, as well as cash and cash equivalents, which helps with efficient portfolio management and risk hedging.

One important detail for investors is that the fund is non-diversified, meaning it can take larger positions in key companies within the energy sector. This approach can lead to higher volatility compared to a more diversified portfolio but also offers the potential for greater returns if the sector performs well.

With an AUM of nearly $2 billion and an expense ratio of 0.46%, the fund is substantial in size but still relatively cost-effective for investors seeking energy sector exposure. It’s a pure-play energy ETF, making it a useful tool for those looking to tap into this critical part of the global economy without having to pick individual stocks.

For more information, you can visit the funds homepage at http://www.ishares.com.