XRT is a cyclical retail sales play that is correlated with consumer spending. The S&P Retail Select Industry Index is made up entirely of retail stocks (including apparel stores, specialty retailers, department stores, grocers, and discount retailers) that have a minimum market cap of $500 million and meet certain liquidity criteria. It equal-weights each holding and rebalances quarterly. The fund costs 0.35%. [ETF Opportunities as Budget Deal Affects US Growth]
Other retail ETFs to consider:
- Vanguard Consumer Discretionary ETF(NYSEArca: VCR)
- Shares Dow Jones U.S. Consumer Services (NYSEArca: IYC)
- Consumer Discretionary Select Sector SPDR (NYSEArca: XLY)
Tisha Guerrero contributed to this article.