Technology stocks and sector-related exchange traded funds have outperformed this year as investors piled into growth-oriented picks to capture improving corporate earnings.
Here’s a look at the 5 Most Popular Broad Technology Sector ETF Picks:
1) Technology Select Sector SPDR Fund (NYSEArca: XLK). XLK has been a go-to- choice among many market participants to capture tech sector names. XLK is up 21.1% year-to-date.
The Technology Select Sector SPDR Fund tries to reflect the performance of the Technology Select Sector Index, which is comprised of technology and telecom sector of the S&P 500. The ETF includes companies from technology hardware, storage, and peripherals; software; diversified telecommunication services; communications equipment; semiconductors and semiconductor equipment; internet software and services; IT services; electronic equipment, instruments and components; and wireless telecommunication services. Top holdings include Apple (NasdaqGS: AAPL) 15.6%, Microsoft (NasdaqGS: MSFT) 10.5% and Facebook (NasdaqGS: FB) 7.5%.
2) Vanguard Information Technology ETF (NYSEArca: VGT). VGT is the second largest tech sector-specific ETF. VGT is up 23.0% year-to-date.
The Vanguard Information Technology ETF tries to reflect the performance of the MSCI US IMI Information Technology 25/50 Index, which includes information technology stocks in the MSCI US IMI 25/50. The ETF leans toward some of the largest information technology names, such as AAPL 13.8%, MSFT 9.5% and FB 7.1%.
3) iShares U.S. Technology ETF (NYSEArca: IYW). IYW is up 23.1% year-to-date.