Four Mid-Cap ETFs Your Broker Forgot To Mention

Forgetting about mid-cap stocks is pretty easy to do. That doesn't mean it's wise, nor does it mean it's excusable to forget about mid-cap ETFs as this is one corner of the ETF universe that has potential to be a growth area in the coming years. This actually may prove to be a good time for investors to avail themselves of mid-caps with small-caps being thrown out with the bathwater and large-caps still being targeted by eager sellers. And that means it could be time to forgo stock-picking in the mid-cap universe and rely ETFs to generate some alpha. Here are some mid-cap ETFs your broker probably forgot about. 1) Guggenheim Mid-Cap Core ETF CZA: Home to 101 stocks and a 0.6% expense ratio, CZA definitely fits the bill as a mid-cap ETF that doesn't grab a lot of attention. CZA has about $17.5 million in assets under management and offers an attractive risk/reward here as support at $25 looks firm. Trading around $27, CZA could run back to $33 if the market cooperates. This ETF's biggest problem is an 18% allocation to financials. Tech gets a similar weight while energy, consumer staples and industrials are all above 10% of the fund's weight. 2) iShares Morningstar Mid Value Index Fund JKI: JKI is another under-the-radar mid-cap play, though this iShares offering boasts almost $93.5 million in AUM with an expense ratio of 0.3%. JKI is home to over 170 stocks, none of which gets an allocation greater than 1.62%. That kind of diversity can prove beneficial in mid-cap ETFs, but JKI shares something in common with CZA: Financials are its highest sector weight at 20.5%. Utilities account for over 17% of JKI's weight while consumer cyclicals and staples also receive double-digit allocations. Trading around $68, bail on JKI if it falls below $62, but the upside is a run to $80. 3) SPDR S&P International Mid-Cap ETF MDD: With an expense ratio of 0.45% and almost $39 million in AUM, MDD focuses on stocks with market caps of $2 billion to $5 billion. In fact, it focuses on a lot of that stocks in that market cap range, about 485 to be precise. At least financials aren't the biggest sector (they're second). Industrials are MDD's top sector allocation and consumer discretionary and materials names both account for nearly 13% of MDD's weight. MDD is international, but not emerging markets focused. Japan, the U.K. and Canada account more than half of the fund's country weight and that means this one might be best saved for later. 4) WisdomTree MidCap Earnings Fund EZM: If you thought MDD held a lot of stocks, check out EZM, which is home to over 600 stocks. With an expense ratio of 0.38%, EZM, is an all U.S. fund, but that's not so bad because EZM might boast more potential takeover targets than any other member of this list. Consumer discretionary, financials, industrial and information technology are the top four sector weights in that order. Trading $50, EZM's chart is somewhat attractive here with support firm at $46 and the potential for a run back to $60.