Select Sector SPDR Fund - Financial (XLF)

QUOTE AND NEWS
Forbes  9 hrs ago  Comment 
Comparing units outstanding versus one week ago at the coverage universe of ETFs at ETF Channel, the biggest inflow was seen in the Financial Select Sector SPDR Fund (XLF), which added 15,950,000 units, or a 2.2% increase week over week. Among the...
Forbes  May 21  Comment 
Looking at units outstanding versus one week prior within the universe of ETFs covered at ETF Channel, the biggest outflow was seen in the Financial Select Sector SPDR Fund (XLF), where 9,300,000 units were destroyed, or a 1.3% decrease week over...
Forbes  May 15  Comment 
In afternoon trading on Friday, Financial stocks are the worst performing sector, showing a 0.5% loss. Within that group, Navient Corp (NASD: NAVI) and The Charles Schwab Corporation (NYSE: SCHW) are two of the day's laggards, showing a loss of...
Forbes  May 7  Comment 
The best performing sector as of midday Thursday is the Financial sector, up 0.9%. Within that group, Essex Property Trust, Inc. (NYSE: ESS) and Equity Residential (NYSE: EQR) are two large stocks leading the way, showing a gain of 2.9% and 2.7%,...
Forbes  Apr 27  Comment 
Looking at units outstanding versus one week prior within the universe of ETFs covered at ETF Channel, the biggest outflow was seen in the Financial Select Sector SPDR Fund (XLF), where 10,650,000 units were destroyed, or a 1.5% decrease week over...
Forbes  Apr 9  Comment 
Looking at units outstanding versus one week prior within the universe of ETFs covered at ETF Channel, the biggest outflow was seen in the Financial Select Sector SPDR Fund (XLF), where 7,700,000 units were destroyed, or a 1.0% decrease week over...
Forbes  Mar 24  Comment 
Looking at units outstanding versus one week prior within the universe of ETFs covered at ETF Channel, the biggest outflow was seen in the Financial Select Sector SPDR Fund (XLF), where 26,950,000 units were destroyed, or a 3.5% decrease week over...
Market Intelligence Center  Mar 2  Comment 
The patented option-trade picking algorithms that power MarketIntelligenceCenter.com's Artificial Intelligence Center are highlighting two trades on Financial Select Sector SPDR (XLF) today after it closed at $24.35 on Friday. For more...




 


The Financial Select Sector SPDR Fund (NYSE:XLF) is an Exchange Traded Fund (ETF) that seeks to provide investment results that correspond to the price and yield performance of the Financial Select Sector of the S&P 500 Index. The Index includes a broad range of financial service firms including banks, brokerage houses, insurance and other diversified financial holding companies.

ETFs utilize a passive investment approach to invest in a portfolio of stocks that seek to replicate the underlying index, in this case the underlying index is the Financial Select Sector S&P 500 Index.

Fund Characteristics

  • Fund Sponsor: State Street Global Advisors
  • Inception Date: December, 1998
  • Ticker: XLF
  • Expense ratio: 0.21%

Top 10 Holdings (56.6% of total holdings)[1]

Current as of 7/19/2010

Company Index Weight
J P Morgan Chase (JPM) 9.85%
Bank of America (BAC) 8.91%
Wells Fargo (WFC) 8.69%
Berkshire Hathaway (BRK) 8.11%
Citigroup (C) 5.60%
Goldman Sachs Group (GS) 4.78%
American Express Company (AXP) 3.16%
U.S. Bancorp (USB) 2.81%
Morgan Stanley (MS) 2.20%
Bank of New York Mellon Corporation (BK) 1.98%

Holdings by Industry[2]

Image:Xlfholdings.jpg

Industry Index Weight
Diversified Financial Services 28.3%
Insurance 22.7%
Commercial Banks 19.8%
Capital Markets 16.4%
Real Estate Investment Trusts (REITs) 7.5%
Consumer Finance 4.7%
Thrifts & Mortgage Finance 0.4%
Real Estate Management and Development 0.2%

Other ETFs in this family include:

  • XLY: Consumer Discretionary SPDR
  • XLP: Consumer Staples SPDR
  • XLE: Energy SPDR
  • XLV: Health Care SPDR
  • XLI: Industrials SPDR
  • XLB: Materials SPDR
  • XLK: Technology SPDR
  • XLU: Utilities SPDR

Investment Strategies

Sector investing is popular as various sectors of the economy may rise and fall in response to different economic factors. Some sectors will be counter-cyclical to other sectors.

Leveraged ETFs and Inverse ETFs

ETFs have become so popular that new ones are coming to market rather frequently. The latest version includes “leveraged ETFs” and “inverse ETFs.”

A leveraged ETF seeks to match some multiple of the underlying index. For example, PowerShares QQQ Trust (NASDAQ: QQQ) is an ETF that seeks daily investment results that correspond to the daily performance of the NASDAQ-100 Index. ProShares Ultra QQQ (NYSE: QLD) seeks to double the performance of the QQQ.

An inverse ETF seeks to match the performance of an index, but in the inverse direction. This is normally accomplished by short-selling either the index or the underlying assets. For example, ProShares UltraShort QQQ (NYSE: QID) seeks to double the performance of the NASDAQ-100 Index in the inverse direction. If the NASDAQ-100 is up 5% the ProShares UltraShort QQQ should be down by 10%.

References

  1. Financials SPDR - XLF
  2. Investment Summary: Financial Sector SPDR
Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki