iShares Global Industrials ETF

EXI

Market cap $1.04B

This article provides a top-down analysis of the industrial sector based on valuation, quality, and momentum. Industrials remain broadly overvalued, with transportation as the only undervalued subsector; aerospace/defense is the most overpriced. EXI offers global exposure and less concentration risk than XLI, but has underperformed, partly due to currency headwinds.

As tariff tensions ease and investor sentiment improves, global ETFs like ACWI are poised for a rally.

During 2023, the higher rate environment was a source of competition for the equity income category.