From Nasdaq: 2024-05-20 06:20:07

The Technology Select Sector SPDR ETF (XLK) was launched in 1998, providing broad exposure to the Technology – Broad sector. Passively managed ETFs like XLK are popular for their low costs, transparency, and tax efficiency, making them ideal for long-term investors. XLK seeks to match the performance of the Technology Select Sector Index.

With over $65.63 billion in assets, XLK is the largest ETF in the Technology – Broad segment. It includes companies from various industries such as computers, software, telecommunications, and semiconductors. The fund has an expense ratio of 0.09% and a dividend yield of 0.70%, making it a cost-effective investment option.

XLK has shown strong performance, with a 10.22% increase this year and a 38.16% increase over the past year. The fund has a beta of 1.14 and a standard deviation of 23.93%, indicating medium risk. XLK holds a Zacks ETF Rank of 1 (Strong Buy), making it a top choice for Technology ETF investors.

The top holdings of XLK include Microsoft Corp, Apple Inc, and Nvidia Corp, with the Information Technology sector dominating the portfolio. While XLK is a strong option for exposure to the Technology sector, investors can also consider alternatives like iShares U.S. Technology ETF (IYW) and Vanguard Information Technology ETF (VGT) for diversification.

Investors interested in ETFs can visit the Zacks ETF Center for more information and analysis. Zacks’ free Fund Newsletter provides key ETF insights weekly. For detailed recommendations and analysis, investors can access reports on XLK and other top ETFs on Zacks Investment Research’s website.



Read more at Nasdaq: Should You Invest in the Technology Select Sector SPDR ETF (XLK)?