
The S&P 500 Healthcare Index ETF is a popular investment option for those looking to tap into the healthcare sector of the US stock market. It's a fund that tracks the performance of the S&P 500 Healthcare Index.
The S&P 500 Healthcare Index is a market-capitalization-weighted index that includes 67 healthcare stocks from the S&P 500. This index is designed to measure the performance of the US healthcare sector.
Investing in the S&P 500 Healthcare Index ETF can provide diversification benefits, as it allows you to invest in a broad range of healthcare companies. This can help reduce risk and increase potential returns over the long term.
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Performance
The S&P 500 Healthcare Index ETF has seen some impressive returns over the years. The S&P 500 Healthcare Index has a 10-year return of 10.66%.
The S&P 500 Index has a 10-year return of 10.71%, but the S&P 500 Healthcare Index has outperformed it in the 5-year period with a return of 9.70% compared to 13.35%. The S&P 500 Equal Weight Health Care Index has also outperformed the S&P 500 Index in the 5-year period with a return of 9.16% compared to 13.35%.
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Here's a comparison of the 1-year returns of the S&P 500 Healthcare Index and the S&P 500 Index: the S&P 500 Healthcare Index has a 1-year return of 14.08%, while the S&P 500 Index has a 1-year return of 33.89%.
The Fund NAV has a 10-year return of 11.35%, which is close to the 10-year return of the S&P 500 Healthcare Index. The Fund NAV has also outperformed the S&P 500 Index in the 5-year period with a return of 8.72% compared to 13.35%.
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Technical Analysis
The S&P 500 Healthcare Index ETF's short-term outlook is a 56% Sell, indicating a strong indication to sell in the near future.
This opinion is based on the Barchart Technical Opinion rating, which suggests that the current direction is likely to be maintained.
Long-term indicators fully support a continuation of the trend, making it a good idea to hold onto your investments for the long haul.
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The technical analysis suggests that the current direction is strong enough to withstand short-term fluctuations.
This could be a good opportunity to buy in and ride the trend, but it's essential to consider your investment goals and risk tolerance.
The technical analysis is a useful tool for making informed investment decisions, but it's just one piece of the puzzle.
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Industry Breakdown
The S&P 500 Healthcare Index ETF has a significant allocation to various healthcare industries.
The largest industry allocation is to Unclassified, making up 77.10% of the fund.
A substantial portion of the fund is also allocated to Health Care Providers & Services, accounting for 8.24% of the fund.
Health Care Equipment & Supplies is another notable industry allocation, making up 6.52% of the fund.
The fund also has smaller allocations to Pharmaceuticals, Biotechnology, and Life Sciences Tools & Services, which account for 3.28%, 3.18%, and 1.63% of the fund, respectively.
Here's a breakdown of the fund's industry allocations:
Frequently Asked Questions
What index tracks healthcare?
The S&P 500 Health Care Index tracks the performance of the largest healthcare companies in the US market, providing a benchmark for healthcare sector investments. This index is a subset of the S&P 500, covering companies in the healthcare industry.
What is the PE ratio for the S&P 500 healthcare sector?
The estimated P/E Ratio for the S&P 500 Health Care Sector is 32.94, as of December 27, 2024. This calculation is based on the XLV ETF, which tracks the sector's performance.
Sources
- https://www.barchart.com/stocks/quotes/XLV
- https://www.ishares.com/uk/individual/en/products/280507/ishares-sp-500-health-care-sector-ucits-etf
- https://www.invesco.com/us/financial-products/etfs/product-detail
- https://www.ssga.com/us/en/intermediary/etfs/the-health-care-select-sector-spdr-fund-xlv
- https://www.blackrock.com/il/individual/en/products/280507/ishares-sp-500-health-care-sector-ucits-etf
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