ETF crowding costs TOPT
The iShares TOPT ETF is down about 11% YTD and analysts say that’s largely because it holds 16% in Nvidia — a classic ‘crowded trade’ hit by a single name. Concentrated ETFs are amplifying single‑stock risk for investors who assumed broad diversification. (247wallst.com)
NVIDIA makes up 15.92% of TOPT’s weight according to the fund’s holdings snapshot dated March 26, 2026. (stockanalysis.com) iShares reports TOPT’s NAV total-return YTD at -9.41% as of March 26, 2026. (ishares.com) A March 30, 2026 analysis put the fund’s YTD decline at roughly -11.06%, highlighting differences between data points and return measures cited by commentators. (247wallst.com) The ETF’s top 10 positions constitute about 69.44% of the fund, underscoring how a handful of mega‑caps dominate performance. (stockanalysis.com) Assets under management for TOPT sit near $472.8 million, keeping the vehicle relatively small compared with broad-market ETFs. (morningstar.com) TOPT is designed to track the S&P 500 Top 20 Select Index and carries a 0.20% expense ratio per the iShares product page. (ishares.com) The ETF was launched on October 23, 2024, making it a recent entrant that concentrates the largest S&P 500 names by float‑adjusted market cap. (stockanalysis.com) A straightforward proportional calculation implies a 10% drop in NVIDIA would directly subtract roughly 1.59% from TOPT’s NAV, given NVIDIA’s 15.92% weight (simple proportional effect). (stockanalysis.com) That sensitivity is the mechanism analysts point to when linking single‑stock volatility in NVIDIA to the ETF’s outsized YTD slide. (247wallst.com)
