(KRE) SPDR S&P Regional Banking - Ratings and Ratios

The SPDR® S&P Regional Banking ETF (KRE) is designed to provide exposure to the regional banking sector by tracking the performance of the S&P Regional Banks Select Industry Index. This index is a subset of the broader S&P Total Market Index (S&P TMI), focusing specifically on regional banks. The fund employs a sampling strategy, meaning it invests in a representative selection of the indexs constituents rather than holding every security. This approach allows for efficient tracking of the index while managing transaction costs.

KRE typically allocates substantially all of its assets—usually at least 80%—to the securities included in the index. This ensures that the fund remains aligned with the performance of the regional banking sector it aims to replicate. The funds holdings are concentrated in regional banks, which play a critical role in the U.S. financial system by providing loans and financial services to local communities and businesses. These banks are often less exposed to the global market volatility compared to larger money-center banks.

As an ETF, KRE offers investors transparency, liquidity, and the ability to gain exposure to a diversified portfolio of regional banks with a single investment. The fund is domiciled in the United States and is listed on the NYSE Arca exchange under the ticker symbol KRE. Its assets under management (AUM) currently stand at approximately $4.95 billion, making it a significant player in the financial sector ETF category. The funds expense ratio is 0.35%, which is competitive within its category.

For investors and fund managers, KRE provides a targeted way to gain exposure to the regional banking sector, which can be influenced by factors such as interest rate changes, regulatory policies, and economic conditions in specific regions. The funds performance is closely tied to the health of the U.S. banking system and the broader financial sector.

Additional details about the fund, including its full holdings, historical performance, and other disclosures, can be found on the official SPDR website: http://www.spdrs.com. This resource is particularly useful for investors conducting due diligence or seeking more granular information about the funds strategy and operations.