If You'd Invested $1,000 in the Utilities Select Sector SPDR Fund (XLU) 10 Years Ago, Here's How Much You'd Have Today

1 week ago 11
  • The State Street Utilities Select Sector SPDR ETF delivered a solid, but not amazing, return.

  • It encompasses astir 31 inferior companies and offers a dividend.

  • Some are increasing bullish connected the assemblage owed to accrued vigor request for artificial intelligence.

  • 10 stocks we similar amended than Select Sector SPDR Trust - State Street Utilities Select Sector SPDR ETF ›

It tin beryllium amusive to play what-if games, particularly astatine the extremity oregon opening of the year. If you're an capitalist funny successful the utilities sector, for example, you mightiness wonderment however you'd person done, had you plunked $1,000 successful the State Street Utilities Select Sector SPDR ETF (NYSEMKT: XLU). It's an exchange-traded money (ETF) -- a money that trades similar a banal -- and it's focused connected utilities businesses.

Here's the reply to that question: Your concern would present beryllium worthy astir $2,443. That's beauteous bully -- much than doubling your wealth -- and represents an mean yearly summation of 9.3%. But it's worthy noting that had you parked that wealth successful a low-fee S&P 500 scale money instead, your involvement would beryllium worthy astir $3,658. The S&P 500 has simply had an fantabulous decade, averaging yearly gains of much than 13%, good supra the historical semipermanent mean of adjacent to 10%.

Someone with a superior   look  is making calculations connected  a blackboard.

Image source: Getty Images.

Note, too, that dividends matter. Had you reinvested your dividends on the way, you'd person ended up with $2,728, and an mean yearly summation of 10.6%. (The S&P 500 with dividends reinvested would person grown to $3,979, astatine an mean yearly maturation complaint of 14.8%.)

To springiness you an thought of what the State Street Utilities Select Sector SPDR ETF invests in, cheque retired its caller apical 10 holdings (out of 31):

Stock

Percent of ETF

NextEra Energy

12.63%

Constellation Energy

8.45%

Southern Co.

7.28%

Duke Energy

6.90%

American Electric Power

4.68%

Sempra

4.38%

Vistra

3.89%

Dominion Energy

3.82%

Exelon

3.33%

Xcel Energy

3.31%

Source: Morningstar.com. As of Dec. 29, 2025.

If you're bullish connected the inferior assemblage -- possibly due to the fact that the accelerated dispersed of artificial quality (AI) and information centers is expanding request for vigor -- springiness this ETF immoderate consideration. Know that it offers a dividend, too, with a caller dividend output of 2.55%.

Before you bargain banal successful Select Sector SPDR Trust - State Street Utilities Select Sector SPDR ETF, see this:

The Motley Fool Stock Advisor expert squad conscionable identified what they judge are the 10 champion stocks for investors to bargain now… and Select Sector SPDR Trust - State Street Utilities Select Sector SPDR ETF wasn’t 1 of them. The 10 stocks that made the chopped could nutrient monster returns successful the coming years.

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