A smart beta exchange traded fund, the State Street SPDR S&P Retail ETF (XRT) debuted on 06/19/2006, and offers broad exposure to the Consumer Discretionary ETFs category of the market.
Designed to provide broad exposure to the Consumer Discretionary - Retail segment of the equity market, the State Street SPDR S&P Retail ETF (XRT) is a passively managed exchange traded fund launched on June 19, 2006.
State Street SPDR S&P Retail ETF (XRT) is downgraded to Hold due to macro and technical headwinds. XRT's valuation is attractive at under 16x earnings, but negative real wage growth and high gas prices weigh on outlook. The ETF's technical setup is precarious, with a head-and-shoulders pattern threatening a breakdown below $78 support.
| XHAN Exchange | US Country |
The fund is designed to mirror the performance of the S&P Retail Select Industry Index, reflecting a specialized approach to investing in the retail sector. It utilizes a sampling strategy to achieve this goal, whereby it invests most or all of its assets in the securities that make up the index. This index is a component of the S&P Total Market Index (S&P TMI), focusing specifically on the retail industry. By committing at least 80% of its total assets to securities within the index, the fund seeks to offer investors exposure to the retail segment's performance, reflecting trends and opportunities within this dynamic sector.
The fund's main product and service offerings are centered around investment in the retail sector, as outlined below: