A guy named Zacks wrote an article about a thing called the Health Care Select Sector SPDR ETF. This is a way for people to invest their money in a big group of health care companies, so they don't have to pick and choose which ones to invest in. The guy says this could be a good way to invest because it's not too expensive and it has done well lately. He also talks about some other similar ways to invest in health care companies. Read from source...
The Health Care Select Sector SPDR ETF (XLV) is a passively managed ETF that tracks the performance of the Health Care Select Sector Index. It is a good option for investors looking for exposure to the healthcare sector, as it provides a low-cost, transparent, flexible, and tax-efficient way to invest. The ETF has a low expense ratio of 0.09% and a 12-month trailing dividend yield of 1.49%. The top holdings in the ETF are Eli Lilly & Co, UnitedHealth Group Inc, and Johnson & Johnson. The ETF has a beta of 0.67 and standard deviation of 14.18% for the trailing three-year period, making it a medium-risk choice in the space.
Some alternatives to consider are the iShares Global Healthcare ETF (IXJ) and the Vanguard Health Care ETF (VHT), which track the S&P Global 1200 Healthcare Sector Index and the MSCI US Investable Market Health Care 25/50 Index, respectively. Both ETFs have lower expense ratios than XLV, but they may not offer the same level of diversification or risk profile. Investors should carefully consider their own risk tolerance, time horizon, and investment goals before making a decision.