Invesco KBW Bank ETF

KBWB

Market cap $5.74B

Although many ETF investors believe the Fed's December rate meeting is the final hurdle to clear in 2025, there are increasing signs that a new market cycle is already underway. Astoria Portfolio Advisors founder, CEO and CIO John Davi and LionShares CEO Sofia Massie sit down with CNBC's Contessa Brewer on “ETF Edge” to discuss the best way to position a portfolio as we near the end of the year, the set-up for 2026, key trends to watch for, and why it's important to look beyond the Mag 7.

Sold 437,500 shares, an estimated $31.3 million decrease based on the average share price for the quarter Post-trade stake: zero shares; $0 value The position accounted for 10.3% of AUM in the prior quarter

The Invesco KBW Bank Index ETF faces significant risks as banks confront consumer weakness, job losses, and unfavorable market conditions. KBWB's attractive valuations mask underlying risks, with top holdings propping up performance while regional banks remain vulnerable to sharp drawdowns. Technical analysis signals a bearish outlook for KBWB, suggesting the ETF could be on the verge of a steep decline.

Designed to provide broad exposure to the Financials - Banking segment of the equity market, the Invesco KBW Bank ETF (KBWB) is a passively managed exchange traded fund launched on November 1, 2011.

The first rate cut of the year gives investors the opportunity to position their portfolios to capture future upside in certain sectors, should further cuts occur. History has an uncanny ability to repeat itself, and it's telling us that we should target the financial sector.

Invesco KBW Bank ETF remains a "Buy," supported by strong year-to-date performance from top holdings Goldman Sachs and JPMorgan Chase. KBWB has outperformed the S&P 500 since the second quarter, aided by robust dividend payouts and favorable seasonal trends for banks. Despite a higher valuation and some technical momentum concerns, KBWB's long-term earnings growth and rising 200-day moving average are constructive.

CNBC's “Closing Bell Overtime” team is joined by Gerard Cassidy, co-head of global financials research at RBC Capital Markets, to discuss banking sector stocks and his outlook for financials.

Big banks??? earnings surge, resilient deal activity, and favorable valuations put focus on financial ETFs like XLF, VFH, KBWB and IYF.

Launched on November 1, 2011, the Invesco KBW Bank ETF (KBWB) is a passively managed exchange traded fund designed to provide a broad exposure to the Financials - Banking segment of the equity market.

The Federal Reserve's July FOMC meeting came and passed precisely as expected: without any change to its benchmark effective federal funds rate (EFFR).