- The Consumer Staples Select Sector SPDR Fund attempts to offer investment returns that, before fees, are usually consistent with the Consumer Staples Select Sector Index (the “Index”) price and yield performance.
- The Index aims to give an accurate representation of the S&P 500 Index’s consumer staples sector.
- aims to give companies in the food and staples retailing, beverage, food product, tobacco, household product, and personal product industries in the United States targeted exposure.
- Allows investors to adopt more specific strategic or tactical positions than traditional style-based investing.
Consumer Staples Select Sector SPDR Fund: What is it?
Food and staples retailing, household products, food products, beverages, tobacco, and personal products are all represented in the Consumer Staples Select Sector Index. The performance mentioned is from the past and does not guarantee future results.
SPDR ETFs are managed by who?
SPDR funds (pronounced “spider”) are a series of exchange-traded funds (ETFs) managed by State Street Global Advisors and traded in the United States, Europe, and Asia-Pacific (SSGA). They’re also called as Spyders or Spiders informally. Standard and Poor’s Financial Services LLC, a subsidiary of S&P Global, owns the SPDR trademark. Standard and Poor’s Depository Receipt is the acronym for Standard and Poor’s Depository Receipt.
The name is an abbreviation for the family’s original member, the Standard & Poor’s Depositary Receipts, which are now known as the SPDR S&P 500 and are designed to replicate the S&P 500 stock market index. For a long period, this fund was the world’s largest ETF. SSGA also manages the SPDR Gold Shares, which was once the world’s second-largest ETF. They were the world’s first and second largest exchange-traded products as of August 2012.
Unit investment trusts are used to create the funds. The StreetTRACKS family of ETFs, as well as its other flagship ETF shares, the DOW DIAMONDS, which monitors the Dow Jones Industrial Average, were renamed as SPDRs by SSGA in 2007. This move consolidated all of SSGA’s U.S. ETFs, which numbered 23 at the time, under a single brand. The whole portfolio that became known as SPDRs had $102 billion in assets under management at the end of 2006.
With $714 billion in assets, SPDR is the third largest ETF provider behind iShares and Vanguard as of December 2019.
What does the term “consumer staples” mean?
A set of key products utilized by consumers is referred to as consumer staples. Foods and beverages, as well as domestic items and hygiene products, as well as alcohol and cigarettes, fall under this category. These are the items that people can’t — or won’t — remove from their budgets, regardless of their financial circumstances.
Consumer staples are considered non-cyclical, which means that they are constantly in demand, regardless of how well the economy is doing — or not doing. As a result, consumer staples are unaffected by economic cycles. Also, regardless of price, individuals tend to desire consumer essentials at a consistent level.
What exactly is consumer discretionary?
Consumer discretionary refers to goods and services that consumers deem non-essential but attractive if their available income allows them to purchase them. Durable items, high-end clothes, entertainment, leisure activities, and automobiles are examples of consumer discretionary products.
Consumer discretionaries and consumer cyclicals are two terms used to describe companies that provide these types of goods and services.
What exactly is the XLC ETF?
One of the newest additions to State Street’s popular legacy array of sector ETFs is the Communication Services Select Sector SPDR Fund (XLC). XLC provides investors with broad exposure to companies such as Facebook, Twitter, Netflix, and Alphabet, the parent company of Google.
Vht or XLV: which is better?
VHT has a total return of 446.19 percent since January 4, 2010, which is higher than XLV’s total return of 418.71 percent. The current dividend yield on VHT is 1.21 percent, which is lower than the 1.39 percent yield on XLV. Dividends and splits are factored into all prices.
Is the XLV ETF a Good Investment?
The movie XLV is classified PG-13 “In our POWR Ratings system, we grade it as a “Strong Buy.” It also comes with a “Trade Grade, Buy & Hold Grade, and Industry Rank all start with a “A.” It is also placed first in the Health & Biotech ETFs group, out of 35 stocks.