Wagner notes XLV could give back some of its recent gains if it falls below $57, but the ETF is up 2.3% in the past month, not far off the 3% gained by IBB over the same time. Importantly, it is more than just biotech stocks that have helped keep XLV and related ETFs sturdy.
Just four of the 30 members of the Dow Jones Industrial Average are up at least 10% year-to-date, but two – Johnson & Johnson (NYSE: JNJ) and Merck (NYSE: MRK) – combine for over 20% of XLV’s weight.
Investors have stuck by more conservative health care ETFs like XLV despite the tumult among biotech stocks. XLV has attracted over $45 million in assets since start of the second quarter, which comes after nearly $414 million in first-quarter inflows. [Health Care ETFs Endure Biotech Slump]
Health Care Select Sector SPDR
