XLV is the largest healthcare ETF trading, with $6.8 billion in assets under management. Sub-industries within this ETF are pharmaceuticals, biotechnology, healthcare equipment and managed healthcare. Long-term growth is looking certain forGileadwhich is a top holding in the fund. The company has a new Hepatitis C drug in the pipeline, in addition to the top AIDS/HIV market franchise that has 70% of the market share. [Take a Defensive Approach with a Healthcare ETF]
VHT is less top-heavy, with 10 companies making up the top assets, versus four for XLV. Sub-industries included are pharmaceuticals, biotechnology, healthcare equipment and managed healthcare.
PSCH takes a small-cap approach to the healthcare industry. Most companies have an average market cap of $1.7 billion. The sub-industries represented are pharmaceuticals, healthcare supplies, healthcare equipment and healthcare services. [An Obamacare ETF Winner]
Tisha Guerrero contributed to this article.