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The State Street Utilities Select Sector SPDR ETF delivered a solid, but not amazing, return.
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It encompasses astir 31 inferior companies and offers a dividend.
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Some are increasing bullish connected the assemblage owed to accrued vigor request for artificial intelligence.
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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%.
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):
| 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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