This ETF offers a unique way to access the U.S. energy market, giving investors seeking to avoid cap-weighted products an alternative way to bet on oil stocks. RYE is likely too targeted for those investors with a long-term focus, but can be useful as a way to tilt portfolio exposure towards a specific sector or as part of a long/short pairs trade. Like many Rydex ETFs, RYE is equal-weighted, meaning that exposure is spread evenly across portfolio components. This methodology may be particularly appealing in the top-heavy energy industry, where traditional cap-weighting can result in significant concentration issues. ETF options such as XLE or FEG will be cheaper form a cost perspective, but this Rydex ETF offers an opportunity to achieve more balanced exposure to the energy sector that avoids the potential performance drags of cap-weighted ETFs.