IAK: ISHARES U.S. INSURANCE ETF
What this ETF is trying to do
The iShares U.S. Insurance ETF (IAK) is designed to give investors exposure to the insurance industry in the United States. Instead of buying just one insurance company, this ETF holds a group of them. As of October 7, 2026, the fund holds 62 different companies.
Top Holdings
The portfolio is made up of several large insurance firms. The top holdings include:
• Progressive Corp: 13.5%
• Chubb Ltd: 12.8%
• The Travelers Companies Inc: 8.33%
• Allstate Corp: 6.39%
• MetLife Inc: 4.64%
These weights can change over time.
What the numbers show
When looking at an ETF, it is important to distinguish between price return (how the share price moved) and total return (which includes the share price move plus cash distributions).
• Short Term: The year-to-date price return is 1.39%, while the year-to-date total return is 3.61%.
• One Year: The one-year price return is 2.24%, and the one-year total return is 4.99%.
• Long Term: Over three years, the price return was 50.64%, and the total return was 59.71%.
For a simple example, the estimated price from roughly one year ago was $135.02. If you had invested $10,000 based on that estimated price, the price-only growth (2.24%) would have increased that amount to approximately $10,224.
Income and distribution explanation
This ETF pays out cash to investors, which is called a distribution. It usually pays these distributions quarterly. The distribution yield is 2.58%.
It is important for beginners to remember that a distribution yield is not the same as a total return. A high yield provides cash income, but it does not guarantee that the original investment (the principal) will stay the same or grow.
NAV erosion explanation
"NAV erosion" happens when the actual value of the fund's underlying assets drops significantly over time. StockValueFinder uses an erosion-risk score to measure this.
IAK has an erosion score of 94, which is labeled as "Stable / sideways" with "good" severity. Additionally, the severe erosion-risk flag is false, meaning the fund has not triggered a warning for substantial price deterioration.
Pros
• Strong Long-Term Growth: The three-year total return is 59.71%.
• Stability: The erosion-risk score suggests the fund is stable.
• Diversification: It spreads investment across 62 different insurance companies.
Cons
• Slow Recent Growth: The one-year price return (2.24%) is much lower than the three-year return.
• Sector Specific: Because it only holds insurance companies, it is tied to the success of one industry.
Beginner takeaway
IAK provides a way to invest in many U.S. insurance companies at once. While it offers a modest distribution yield for income, its primary strength shown in the data is its long-term total return. Always remember that a distribution yield is separate from the share price movement.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | PROGRESSIVE CORP | PGR | 13.50% |
| 2 | CHUBB LTD | CB | 12.80% |
| 3 | THE TRAVELERS COMPANIES INC | TRV | 8.33% |
| 4 | ALLSTATE CORP | ALL | 6.39% |
| 5 | METLIFE INC | MET | 4.64% |
| 6 | AFLAC INC | AFL | 4.60% |
| 7 | PRUDENTIAL FINANCIAL INC | PRU | 4.56% |
| 8 | AMERICAN INTERNATIONAL GROUP INC | AIG | 4.54% |
| 9 | THE HARTFORD INSURANCE GROUP INC | HIG | 3.87% |
| 10 | ARCH CAPITAL GROUP LTD | ACGL | 3.66% |