IAK
iShares U.S. Insurance ETF
Price Chart
iShares U.S. Insurance ETF (IAK) tracks the Dow Jones U.S. Select Insurance Index, providing market-cap-weighted exposure to large- and mid-cap U.S. insurance companies. The fund holds approximately 60 securities led by major global insurers such as Berkshire Hathaway, Progressive, and Chubb. It carries an expense ratio of 0.40% and offers a dividend yield of approximately 1.3%.
Category
Sector ETFs
Dividend Yield
1.3%
Expense Ratio
0.4%
Holdings
60
Dividend History
Top Holdings
Key Features
- •U.S. insurance sector focus
- •Market-cap weighted methodology
- •Large-cap insurer-centric
- •Benefits from rising interest rates
Advantages
- •Stable portfolio anchored by large-cap insurers
- •Higher investment income during rising rate environments
- •Steady dividends backed by premium income
- •Market-cap weighting favors quality blue-chip holdings
Risks
- •Surge in claims from major natural disasters
- •Reduced investment income during falling rates
- •Overconcentration in Berkshire Hathaway
- •Insurance regulatory environment changes
Rebalancing Strategy
Increase allocation during rising rate cycles; manage risk around natural disaster season (June–November). Pair with KIE (equal-weight) to offset large-cap concentration, and with broad financials ETF (XLF) for intra-sector diversification.
IAK Investment Analysis
IAK (iShares U.S. Insurance ETF) is a Sector ETFs ETF comprising 60 holdings. It has an expense ratio of 0.4% and a dividend yield of 1.3%. The expense ratio is relatively high, so consider costs relative to returns.
A 1.3% dividend yield provides moderate income. It suits investors seeking a balance between growth and dividends.
IAK can play an important role in your portfolio. Due to its concentrated nature, consider combining it with other ETFs for diversification.
US ETF Investment Notes
A 15% withholding tax applies to US ETF dividends. If annual overseas stock capital gains exceed KRW 2.5 million, a 22% capital gains tax is imposed.
Exchange rate fluctuations affect returns. When the Korean won strengthens, dollar-denominated gains may decrease — consider whether to hedge currency risk.
Brokerage fees for overseas ETF trades vary. If you trade frequently, compare fees across brokerages before choosing one.