iShares US Basic Materials ETF

IYM

Market cap $1.18B

Aluminium prices fell sharply on Friday as Emirates Global Aluminium said it had restarted its alumina refinery in the United Arab Emirates after a ​3-1/2-month outage, in a further sign that metal production in the ‌Gulf is set to ramp back up.

Construction materials and packaging are about 10% overvalued; chemicals and mining/metals are deeply overvalued versus historical baselines. IYM offers capital-weighted exposure to Russell 1000 materials, with higher metals/mining allocation and some industrials, but higher fees and volatility than XLB. Four stocks are cheaper than their peers in June.

Looking for broad exposure to the Materials - Broad segment of the equity market? You should consider the iShares U.S. Basic Materials ETF (IYM), a passively managed exchange traded fund launched on June 12, 2000.

Designed to provide broad exposure to the Materials - Broad segment of the equity market, the iShares U.S. Basic Materials ETF (IYM) is a passively managed exchange traded fund launched on June 12, 2000.

I initiate coverage of iShares US Basic Materials ETF with a buy rating, citing strong sector momentum and market-beating returns. IYM's outperformance is driven by targeted exposure to industrial gases, gold, copper, and other metals, delivering a 35% total return over twelve months. The fund's healthy dividend growth, low expense ratio (0.38%), and superior liquidity enhance its appeal versus peers like VAW, XLB, and FMAT.

The Investment Committee give you their top stocks to watch for the second half.

Designed to provide broad exposure to the Materials - Broad segment of the equity market, the iShares U.S. Basic Materials ETF (IYM) is a passively managed exchange traded fund launched on June 12, 2000.

Chemicals and mining/metals industries show significant overvaluation relative to 11-year baselines, while construction materials are near historical averages. IYM offers capital-weighted exposure to Russell 1000 materials companies but is less compelling than XLB due to higher fees, volatility, and lower long-term returns. Investors seeking low company risk may prefer RSPM, as most materials ETFs have heavy exposure to Linde.

Trump's move easing EPA rules boosts the steel supply chain, setting ETFs like XME up for firmer pricing power and steadier volumes.

Launched on June 12, 2000, the iShares U.S. Basic Materials ETF (IYM) is a passively managed exchange traded fund designed to provide a broad exposure to the Materials - Broad segment of the equity market.