SPDR Financial Select Sector Fund (XLF)

SPDR Financial Select Sector Fund (XLF) is a financial sector exchange traded fund. It invests in financial companies.

This SPDR fund objective is to track the performance of publicly traded equity securities of companies in the Financial Select Sector Index. The index includes companies from the following industries: diversified financial services; insurance; commercial banks; capital markets; REITs; consumer finance; thrifts & mortgage finance; and real estate management & development.

XLF Fund Details

• Fund Inception Date: 12/16/1998
• Ticker Symbol: XLF
• CUSIP: 81369Y605
• Rank in category (2015): 81%
• Category: Financial
• Yield: 1.64%
• Capital Gains: -
• Expense Ratio: 0.14%
• Total Assets: $ 22.30 billion
• Annual Turnover Rate: 4.59%

updated on May 2017

This SPDR Financial Select Sector Fund has a low expense fee of 0.15%. The current yield is 1.66%. The portfolio turnover rate is 4.59%. This ETF is popular among investors.
It has $20.21 billion of assets. The management team is Global Equity Beta Solutions (GEBS).

Fund Returns

Morningstar has ranked this U.S. stock ETF with 4 stars rating. In 2014, the year-to-date return is 14.05%. The 3 year annualized return is 20.36%. This popular ETF has returned 14.93% over the past 1 year, and 15.71% over the past 5 years.

Year	Return
2013	35.52%
2014	15.05%
2015	-1.74%
2016	22.59%
2017	1.57%(YTD)

You can buy this largest ETF through your brokerage for retirement or regular investment account. For 401k, please check with your administrator. Invest in ETF can be done with as little as 1 share (i.e. $24.98 per share).

More: Top 10 Financial Mutual Funds 2015

In August 2015, top 8 stocks in its portfolio are:

1. Wells Fargo & Company
2. Berkshire Hathaway Inc. Class B
3. JPMorgan Chase & Co.
4. Bank of America Corporation
5. Citigroup Inc.
6. American International Group Inc.
7. Goldman Sachs Group Inc.
8. U.S. Bancorp

Top 6 sectors are:

• Banks - 37.13%
• Insurance - 16.71%
• Real Estate Investment Trusts (REITs) - 15.21%
• Capital Markets - 13.50%
• Diversified Financial Services - 12.14%
• Consumer Finance - 4.67%

Pros:

• You can invest in financial sector ETF.
• This SPDR Financial Select Sector Fund has a dividend yield for income.

Cons:

• It is not diversified into other sector except financial.