ETF · Broad Market

KBE(KBE)

$63.52
+1.58%
Expense Ratio
$1.3B
Total AUM
Holdings
Inception
Active Share vs VOO
Truly Active
0%20%60%100%
96.7%

AI Look-Through Summary

AI Generated

The KBE ETF maintains a total asset under management of $1.3 billion and exhibits a pronounced sector concentration within Financial Services, which accounts for 44.1% of its portfolio weight. This heavy allocation suggests the fund's performance will be highly correlated with macroeconomic factors influencing the banking and financial industries rather than offering broad diversification across other economic sectors. The top ten holdings reveal a distinct pattern where multiple entities are categorized under Financial Services while others lack specific sector tags in the provided data, indicating that nearly half of the immediate concentration is driven by this single industry vertical.

Geographic exposure cannot be definitively determined from the available holding names alone, as many institutions operate globally or have complex cross-border structures; however, the presence of regional bank tickers like EWBC and CATY alongside larger financial entities implies a potential tilt toward domestic or North American markets rather than emerging economies. Quantitatively, the fund displays moderate concentration risk within its top holdings, with individual positions hovering around 1.1% to 1.2%, which prevents any single name from dominating the index but still results in significant exposure if that specific sub-sector faces headwinds. The absence of sector classifications for several top-tier names introduces a layer of opacity regarding true diversification, as these untagged assets may inadvertently reinforce existing financial service exposures or introduce unrelated risks without clear labeling.

Ultimately, KBE functions as a leveraged vehicle into the Financial Services complex rather than a broadly diversified equity basket. Investors seeking exposure to this specific sector should note that the fund's beta and volatility will likely mirror those of its underlying holdings closely, with limited hedging provided by non-financial assets within the top tier. The data indicates a strategy focused on capturing returns from financial institutions, making it susceptible to regulatory changes or interest rate fluctuations more acutely than balanced portfolios would be.

Generated by Qwen-32B from constituent-level data. Not investment advice. Updated: 2026-05-23 09:55:13.437888+00

🔍 Theme Alignment Audit

AI GeneratedPurity: 95/100

The investment theme implied by the ticker KBE is Small-Cap Banking, and the fund's composition demonstrates a strong alignment with this specific sector focus. The top holdings are predominantly regional banks and financial institutions such as APO, CATY, NTRS, and C, which fits the small-cap banking narrative rather than broader financial services or unrelated industries. While some entries in the top fifteen lack explicit industry labels in the provided data, their inclusion alongside clearly identified bank stocks suggests a concentration within the same asset class rather than a drift into disparate sectors like technology or healthcare that would dilute thematic purity.

Sector coherence is high, with Financial Services accounting for 44.1% of the portfolio across forty-four holdings, indicating a dedicated strategy rather than an accidental sector exposure. The low top-ten concentration of 11.1% suggests effective diversification within the small-cap space, reducing reliance on any single mega-cap stock to anchor performance while maintaining true thematic differentiation from broad market indices. This structure supports the premise that the fund is actively targeting smaller financial entities rather than simply holding a basket of large established names under a thematic label, thereby validating its classification as a specialized small-cap banking vehicle based solely on the provided data points.

AI analysis of holdings alignment vs fund theme. Not investment advice. Updated: 2026-05-23 16:50:34.783516+00

🏢 Sector Analysis

AI Generated

The KBE ETF exhibits a pronounced sector concentration, with Financial Services comprising 44.1% of its portfolio and represented by forty-four distinct holdings. This heavy weighting suggests an investment thesis heavily anchored in the financial industry's performance potential rather than broad market diversification. The presence of multiple top-tier holdings within this single sector indicates that the fund's alpha generation strategy relies significantly on the cyclical dynamics, regulatory environment, and earnings trajectories specific to banks and other financial institutions. Such a structure implies that the fund is positioned to capture upside from interest rate fluctuations or credit cycle expansions while simultaneously exposing investors to heightened volatility if those macroeconomic conditions deteriorate.

Concentration risk appears elevated given the singular reliance on one sector for nearly half of all assets, despite a relatively dispersed top-ten concentration metric of 11.1%. While the specific weightings of individual names like VOYA or APO remain modest at approximately 1.2% each, the sheer number of financial holdings amplifies systemic risk inherent to that industry. The fund does not appear tilted toward value or growth factors through its sector choice alone; rather, it leans into a classic cyclical play where valuation multiples often expand during economic upturns and contract during downturns. This allocation strategy sacrifices breadth for depth within the financial space, meaning portfolio performance will likely mirror broader indices like the KBW Bank Index more closely than a diversified equity benchmark would.

AI-generated sector analysis from constituent-level data. Not investment advice. Updated: 2026-05-23 22:38:57.897543+00

Flow Driver Analysis

2-Step Circle

Which larger ETFs share KBE's holdings — and mechanically drive its price through index rebalancing flows?

Approximately 100% of KBE's weight flows through these larger ETFs

Driver ETFAUMExpenseShared StocksWeight Overlap
VFHVFH$13B10098.7%
SPTMSPTM$12B9089.0%
KREKRE$4B7976.5%
VYMVanguard High Dividend Yield Index Fund ETF Shares$90B6768.2%
VBRVBR$62B5858.9%

99% of KBE's portfolio by weight is also held by VFH, which commands 10× more assets under management. When VFH receives inflows, it mechanically buys these shared stocks — dragging KBE's NAV along regardless of any thematic or sector catalyst. Combined, the top 5 overlapping ETFs control exposure to 100% ofKBE's weight.

Overlap computed from constituent-level holdings data across 5 ETFs. Price co-movement with driver ETFs is structural, not coincidental. Not investment advice.

ETF Look-Through Dashboard

Replaces $249/yr Morningstar

Peer through the ETF wrapper to see exactly what you own. Every metric is computed from constituent-level data.

12.5x
Weighted P/E
1.13x
Weighted P/B
2.49%
Dividend Yield
$26B
Wtd Avg Market Cap

Weighted metrics calculated based on 83% of fund assets with available data.

Herfindahl-Hirschman Concentration Index

0100020003000400099
Well Diversified
Top 5: 5.3%Top 10: 10.6%

Morningstar-Style Box

Value
Blend
Growth
Large
Mid
Small
Mid Value

Sector & Cap Explorer

Other55.8%Financial Services44.2%
Visualization Mode

ETF Fundamental Radar

Total Analysis
99% Weight
Market Cap
Mid
Risk Profile
High Distress

Operational health is mixed, with the bulk of weight in the mid-range (4–6) Piotroski scores.

Piotroski F-Score (Operational Health)

Score 0-9: Measures Profitability, Leverage, and Efficiency

↑ Weight (%)100%80%60%40%20%
11%
0–3 Weak
75%
4–6 Average
13%
7–9 Strong

Computed by rolling up individual stock Piotroski F-Scores, Altman Z-Scores, and Beneish M-Scores weighted by each constituent's allocation. Data that Vanguard and BlackRock don't surface.

Dividend Safety True-Up

Deterministic
38%
Wtd FCF Payout Ratio
0.00%
TTM Yield
Very Safe
Dividend Durability
38% of FCF
0% (retains all cash)50%100% (pays out everything)

The dividend-paying companies inside KBE collectively pay out 38% of their Free Cash Flow to maintain the current yield. This leaves a substantial cash buffer, making dividend cuts unlikely even in a downturn. Based on 60% of fund weight in dividend-paying stocks.

FCF Payout Ratio = Dividends Paid / Free Cash Flow, weighted by constituent allocation. Not investment advice.

Earnings vs. Price Decomposition

Proprietary
+21.5%
ETF 1Y Return
+11.8%
Wtd Earnings Growth
+9.7%
Multiple Expansion
Earnings
P/E Inflation

KBE is up 21.5% over the last 12 months. The underlying weighted earnings growth of its constituents is +11.8%. The remaining +9.7% of performance is driven by multiple expansion (P/E inflation) — prices rose faster than earnings grew.

Earnings growth = weighted average YoY EPS growth of all constituents (capped at ±500% to limit outlier distortion). Based on 98% of fund weight with earnings data. Not investment advice.

Passive Crowding Score

MODERATE

How much of each constituent's market cap is structurally locked in passive ETFs — a proxy for liquidity fragility during sell-offs.

27/ 100
Wtd Avg Passive Ownership8.2%
Most Crowded HoldingCFR (44.5%)
Least CrowdedBOKF (1.1%)
Coverage83% of fund weight
0 — Low255075100 — Extreme

KBE has a Passive Crowding Score of 27/100. On average, 8.2% of the market capitalization of KBE's underlying holdings is structurally locked in passive ETF vehicles. This indicates relatively low passive crowding — the underlying stocks have ample active-market liquidity to absorb ETF-driven flows without significant price distortion.

Passive $ = Σ(ETF AUM × holding weight) across all 14 tracked ETFs. Actual passive ownership is higher (includes mutual funds, pension funds). Not investment advice.

Under the Hood — Top 15 Constituents

Top 10 Concentration11.1%
#TickerCompanyWeightP/EF-Score
1VOYA
VOYA FINANCIAL INC
1.16%
10.6x4/9
2APO
APOLLO GLOBAL MANAGEMENT INC
Financial Services
1.15%
80.4x4/9
3CATY
CATHAY GENERAL BANCORP
Financial Services
1.12%
10.8x6/9
4FBP
FIRST BANCORP PUERTO RICO
1.11%
9.7x7/9
5BNY
BANK OF NEW YORK MELLON CORP
1.11%
17.3x
6NTRS
NORTHERN TRUST CORP
Financial Services
1.11%
17.3x5/9
7CRBG
COREBRIDGE FINANCIAL INC
Financial Services
1.10%
70.1x
8UMBF
UMB FINANCIAL CORP
1.09%
11.5x6/9
9TFIN
TRIUMPH FINANCIAL INC
1.09%
64.2x4/9
10EWBC
EAST WEST BANCORP INC
Financial Services
1.09%
12.2x6/9
11BPOP
POPULAR INC
Financial Services
1.08%
11.0x6/9
12WAFD
WAFD INC
1.07%
10.8x6/9
13C
CITIGROUP INC
Financial Services
1.07%
15.5x2/9
14WSFS
WSFS FINANCIAL CORP
1.07%
12.5x4/9
15PNFP
PINNACLE FINANCIAL PARTNERS
Financial Services
1.07%
13.6x5/9
The bottom 87 stocks in KBE account for only 83.5% of the total fund weight.Only the top 50 holdings are shown. Total holdings: 102.

Historical Holdings Snapshots

Browse how KBE’s holdings have changed across SEC filing dates. Showing top holdings per snapshot.

2026-05-24

15 holdings · 16.5% tracked weight
#TickerWeightSharesMarket Value
1VOYA1.16%217,370
2APO1.15%135,799
3CATY1.12%301,847
4FBP1.11%711,914
5BNY1.11%123,099
6NTRS1.11%102,284
7CRBG1.10%613,750
8UMBF1.09%128,980
9TFIN1.09%252,349
10EWBC1.09%136,323
11BPOP1.08%111,809
12WAFD1.07%469,936
13C1.07%131,954
14WSFS1.07%230,401
15PNFP1.07%169,297

2026-05-23

15 holdings · 16.5% tracked weight
#TickerWeightSharesMarket Value
1VOYA1.16%217,370
2APO1.15%135,799
3CATY1.12%301,847
4FBP1.11%711,914
5BNY1.11%123,099
6NTRS1.11%102,284
7CRBG1.10%613,750
8UMBF1.09%128,980
9TFIN1.09%252,349
10EWBC1.09%136,323
11BPOP1.08%111,809
12WAFD1.07%469,936
13C1.07%131,954
14WSFS1.07%230,401
15PNFP1.07%169,297

2026-05-22

15 holdings · 16.5% tracked weight
#TickerWeightSharesMarket Value
1APO1.17%127,119
2VOYA1.16%203,482
3CATY1.12%282,565
4FBP1.11%666,437
5NTRS1.10%95,743
6CRBG1.10%574,535
7BK1.10%115,225
8EWBC1.09%127,612
9UMBF1.09%120,734
10BPOP1.09%104,679
11WAFD1.08%439,928
12RDN1.08%413,520
13WSFS1.07%215,676
14TFIN1.07%236,229
15C1.07%123,522

2026-05-21

15 holdings · 16.5% tracked weight
#TickerWeightSharesMarket Value
1APO1.18%114,519
2VOYA1.15%183,322
3CATY1.12%254,575
4NTRS1.12%86,248
5BK1.11%103,795
6FBP1.11%600,422
7EWBC1.09%114,967
8RDN1.09%372,570
9WAFD1.09%396,368
10CRBG1.09%517,610
11BPOP1.08%94,329
12WSFS1.08%194,301
13UMBF1.08%108,764
14PNFP1.06%142,773
15FFBC1.06%450,932

2026-05-20

15 holdings · 16.6% tracked weight
#TickerWeightSharesMarket Value
1APO1.19%109,759
2VOYA1.17%175,706
3CATY1.13%244,001
4CRBG1.11%496,105
5NTRS1.11%82,661
6FBP1.11%575,483
7BK1.11%99,477
8RDN1.10%357,100
9EWBC1.09%110,190
10WAFD1.09%379,912
11BPOP1.08%90,419
12UMBF1.08%104,242
13WSFS1.07%186,226
14C1.06%106,658
15EQH1.06%304,596

2026-05-19

15 holdings · 16.6% tracked weight
#TickerWeightSharesMarket Value
1APO1.23%117,879
2VOYA1.18%188,698
3CRBG1.13%532,761
4CATY1.12%262,039
5NTRS1.12%88,780
6BK1.11%106,814
7FBP1.11%618,026
8RDN1.09%383,490
9C1.09%114,546
10EWBC1.09%118,339
11WAFD1.08%407,984
12BPOP1.07%97,089
13WSFS1.07%200,001
14UMBF1.07%111,956
15EQH1.07%327,100

Source: SEC filings and fund provider disclosures. Shows last 6 snapshot dates, top 15 holdings per date by weight.

Risk Profile

27.4%
Annual Volatility
1.11
Sharpe (1Y)
0.77
Sharpe (3Y)
-26.0%
Max Drawdown (3Y)
-45.3%
Max Drawdown (5Y)

Sharpe = risk-adjusted return (higher is better). Computed from 1,200+ trading days with 5% risk-free rate.

Price Chart with Moving Averages

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What Drove KBE Today?

Daily return attribution — which holdings contributed most (and least) to the fund's move.

Fund move:+1.58%(2026-06-02)

Top Contributors

+0.020%
+0.013%
+0.011%

Top Detractors

-0.003%
-0.011%
-0.021%

Attribution = holding weight × stock daily return. Only the top contributors and detractors are shown.

Technical Setup

AI Generated

KBE is currently trading at $63.54, a price point that exists within the broader context of market volatility and underlying fundamental shifts. Without access to historical drawdown data or specific volume trends, it remains unclear whether this current level represents a structural inflection driven by long-term value realization or a fragile equilibrium susceptible to sudden repricing based on macroeconomic headwinds. The absence of visible support or resistance zones in the provided snapshot suggests that momentum is not yet anchored by confirmed technical patterns, leaving the asset's trajectory highly dependent on incoming fundamental catalysts rather than established price action alone. In this environment, risk dynamics appear ambiguous; any upward movement could be interpreted as a recovery phase following an unseen correction, while downward pressure might signal further erosion of confidence if the current backdrop lacks sufficient liquidity to absorb shocks. The interplay between potential volatility spikes and the unknown fundamental narrative creates a scenario where price stability is not guaranteed. Observers must weigh whether $63.54 serves as a temporary resting point before significant expansion or contraction, noting that without corroborating indicators regarding past drawdowns or future earnings visibility, the structural integrity of this momentum remains unverified and potentially precarious against shifting market regimes.

Underwater (Drawdown from Peak)

How far below the all-time high the price has been over time. Deeper = more pain for holders.

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Rolling 60-Day Beta vs S&P 500 (VOO)

How the ETF's sensitivity to market moves changes over time. β > 1 = more volatile than the market.

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Rolling Beta Market (β = 1.0)

Yield & Income

0.00%
TTM Yield
30-Day SEC Yield
5Y Div CAGR

Sector Drift Over Time

How KBE’s sector allocation has shifted across snapshots. Use the slider to travel through time.

2026-05-2456 snapshots
Other55.8%
Financial Services44.2%
Change since 2026-03-30
Other
+0.8%
Financial Services
-0.8%
2026-03-302026-05-24

Active Conviction Tracker

Shares bought and sold between the latest two data snapshots — reveals what the fund manager is actually doing.

No position changes detected between snapshots.

Explore More

Quant metrics computed deterministically from financial statements and price data. Updated: 2026-06-02.

SecuritiesDB is for informational purposes only. Not investment advice.