XLP includes exposure to food & staples 24.4%, household products 20.5%, beverages 20.4%, food products 17.9%, tobacco 15.3% and personal products 1.6%. VDC includes exposure to agricultural products 3.3%, brewers 0.8%, distillers & vintners 1.5%, drug retail 8.0%, food distributors 1.8%, food retail 3.7%, household products 19.6%, super centers 9.3%, packaged foods & meals 17.7%, personal products 2.3%, soft drinks 18.0% and tobacco 14.0%.
Both ETFs hold large positions in well-established consumer names like Procter & Gamble (NYSE: PG), Coco-Cola (NYSE: KO) and Philip Morris International (NYSE: PM). [P&G Props Up Consumer Staples ETFs]
VDC is slightly cheaper with a 0.14% expense ratio, compared to XLP’s 0.16% expense ratio.
Murphy points out that the consumer staples sector broke out from its symmetrical triangle pattern, a bullish technical indicator that could indicate continued momentum.
For more information on the consumer staples sector, visit our consumer staples category.
Max Chen contributed to this article.