Morningstar Rating

ETF Research and Analysis

by Robert Goldsborough
Industrial Select Sector SPDR XLI offers investors broad market-cap-weighted exposure to the industrials sector. XLI owns large-cap industrials companies that are very sensitive both to domestic macroeconomic trends and   Read more 

Bull Case

This ETF is very liquid, with an average of 10.5 million shares traded daily.
As the economic recovery continues, late-cycle firms in this ETF could shine.
Many of the industrials firms held in this ETF have made themselves leaner and more efficient since the downturn. Read more 

Bear Case

The aerospace and U.S. nonresidential construction segments have continued to struggle.
Defense companies currently are facing reduced government spending because of sequestration.
Weak global growth would weigh on many of the firms in this portfolio. Read more 

Kinniry: A Double Hurdle for Tactical Asset Allocation 
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