Tap Strong Outperformance From These Energy Stockshttp://www.fool.com/investing/etf/2012/07/17/tap-strong-outperformance-from-these-energy-stocks.aspx Selena Maranjian
July 17, 2012
Exchange-traded funds offer a convenient way to invest in sectors or niches that interest you. If you expect the energy industry to thrive over time, as our planet's population keeps growing and demanding more power, the Energy Select Sector SPDR ETF (NYSE: XLE ) could save you a lot of trouble. Instead of trying to figure out which companies will perform best, you can use this ETF to invest in a lot of them simultaneously.
This ETF has performed very well, handily beating the world markets over the past three, five, and 10 years. As with most investments, of course, we can't expect outstanding performances in every quarter or year. Investors with conviction need to wait for their holdings to deliver.
With an ultra-low turnover rate of 3%, this fund isn't frantically and frequently rejiggering its holdings, as many funds do.
What's in it?