XLV VS IXJ
4 min read
By Ron Koren, ETF Insider

XLV VS IXJ

Exchange-Traded Funds (ETFs) have transformed the landscape of investment, offering investors diversified exposure to a wide array of sectors and asset classes. In this article, we'll conduct an in-depth comparison between two prominent healthcare-focused ETFs: XLV (Health Care Select Sector SPDR Fund) and IXJ (iShares Global Healthcare ETF). We will dissect various facets including ETF tickers, full names, issuers, sectors, top holdings, capitalization, strategy, tracking, and exposure.

XLV Vs IXJ: Overview

XLV and IXJ represent two distinct approaches to investing in the healthcare industry. While XLV offers a sector-specific approach focused on healthcare stocks within the U.S., IXJ provides a global perspective by encompassing healthcare companies from around the world. Let's delve into the differences and nuances that make each ETF unique.

XLV Vs IXJ: Sectors and Top Holdings

The XLV ETF concentrates on various segments within the U.S. healthcare sector, including pharmaceuticals, biotechnology, healthcare equipment, and services. Notable holdings within XLV include household names like Johnson & Johnson, Pfizer, and UnitedHealth Group. In contrast, IXJ diversifies its holdings across a broader range of countries and includes companies like Roche, Novartis, and AstraZeneca. Analyzing the sectors and top holdings provides insights into regional exposure and industry representation.

XLV  overlap XLV VS IXJXLV overlap XLV VS IXJ

XLV Vs IXJ: Capitalization and Strategy

The XLV ETF boasts a substantial asset under management (AUM), reflecting its popularity among investors seeking exposure to the U.S. healthcare market. Its strategy revolves around mirroring the performance of the Health Care Select Sector Index. IXJ, on the other hand, aims to track the performance of the S&P Global 1200 Health Care Sector Index, offering a broader geographical scope. Differing capitalizations and strategies present varying risk-return profiles for potential investors to consider.

XLV Vs IXJ: Tracking and Exposure

XLV achieves its goal by tracking an index comprising healthcare companies within the S&P 500, providing investors with exposure to the U.S. healthcare sector's performance. In contrast, IXJ's tracking index covers a global array of healthcare companies. Investors seeking global healthcare exposure may find IXJ appealing due to its broader reach, while those interested in the U.S. healthcare landscape may lean towards XLV.

Conclusion

XLV and IXJ serve as distinctive vehicles for healthcare-focused investing, catering to varying investor preferences and objectives. For those eager to delve deeper into their holdings, correlations, overlaps, and other insightful aspects, the ETF insider emerges as an invaluable resource. With its user-friendly app, the ETF insider empowers investors with comprehensive information on these ETFs and other financial instruments.

Disclaimer: This article is intended for informational purposes only and does not offer investment advisory services.

Sources:
"XLV: Health Care Select Sector SPDR Fund." State Street Global Advisors.
"IXJ: iShares Global Healthcare ETF." BlackRock.
"Health Care Select Sector Index." S&P Dow Jones Indices.
"S&P Global 1200 Health Care Sector Index." S&P Dow Jones Indices.

XLV quote and analysis

Discover the top holdings, correlations, and overlaps of ETFs using our visualization tool.
Our app allows you to build and track your portfolio.
To learn more about the XLV Health Care Select Sector SPDR Fund, access our dedicated page now.

Get started

FAQ

  • Why is XLV better than IXJ?

    XLV may be considered better than IXJ for some investors due to its specific focus, offering diversification.

  • Does IXJ beat XLV?

    IXJ's performance relative to XLV will vary over time, depending on market conditions.

  • Should I invest in XLV or IXJ?

    The choice between XLV and IXJ should align with your investment goals, risk tolerance, and desired exposure.

  • Are XLV and IXJ good investments?

    Both XLV and IXJ can be suitable investments depending on individual investment strategies, goals, and risk profiles.

  • What is the correlation between XLV and IXJ?

    The correlation between XLV and IXJ can vary over time, reflecting differences in performance.