Mr. Market May Not Like What Staples ETFs Are Saying

All of those stocks are top-10 holdings in XLP, combining for 22.8% of the ETF’s weight.

XLP and the First Trust Consumer Staples AlphaDEX Fund (NYSEArca: FXG) have easily outpaced the S&P 500 since the end of September. FXG is a different bird than XLP as the former is home to stocks such as Whole Foods (NasdaqGS: WFM) and Herbalife (NYSE: HLF), implying a higher a degree of risk than what is found with XLP. [Herbalife Lifts This Staples ETF]

XLP has also outpaced FXG since the end of September.