Please ensure Javascript is enabled for purposes of website accessibility
Search
Accessibility Menu

Investing in Sector ETFs

Investing in ETFs within each market sector is a great way to promote diversification in your portfolio -- and decrease risk.

By Anders Bylund – Updated Jan 29, 2025 at 10:16PM

Key Points

  • Diversifying investments with sector ETFs can reduce risks and enhance returns.
  • Sector ETFs simplify targeted investments in different market areas, like tech or healthcare.
  • Consider fund families like Vanguard or SPDR for low fees and diverse sector choices.
Key findings are powered by ChatGPT and based solely off the content from this article. Findings are reviewed by our editorial team. The author and editors take ultimate responsibility for the content.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.