Summer Investing: A Boring Sector Heats Up

ETF Trends publisher Tom Lydon discussed the Utilities Select Sector SPDR (XLU) on this week’s “ETF of the Week” podcast with Chuck Jaffe on the MoneyLife Show.

XLU is an ETF to access a boring sector that is looking interesting these days as summer approaches.

The fund tracks utilities companies in the S&P 500, seeking to provide precise exposure to companies from the electric utility, gas utility, multi-utility, and independent power producer and energy trader industries.

It is comprised of 62.2% electric utilities, 33.5% multi-utilities, 2.1% water utilities, and 2.0% independent power and renewable electricity.

Top holdings include NextEra Energy 9.8%, Duke Energy 8.2%, Dominion Energy 7.5%, Souther Co 7.4% and American Electric Power Company 5.3%.

Click here to listen to the podcast.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.