The Defense ETF Duel: Old Guard Aerospace or Next-Gen Tech?
Investors choosing between the Invesco Aerospace & Defense ETF (NYSEMKT:PPA) and the First Trust Indxx Aerospace & Defense ETF (NYSEMKT:MISL) will find two funds that target the defense sector, with slightly different cost structures and portfolio depth.
Both ETFs provide targeted exposure to companies involved in military, national security, and government space operations. While they operate in the same specialized niche, the Invesco fund is a veteran product with a much larger asset base, whereas the First Trust fund is a newer entrant with a leaner portfolio.
The Invesco fund is slightly more affordable with an expense ratio of 0.58%, compared to 0.6% for its First Trust counterpart. Additionally, the Invesco fund provides a higher payout with a dividend yield of 0.4%.
Source: www.fool.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.