XLK ETF — Holdings & Analysis

For informational purposes only. Not financial advice.

Quick Answer

The State Street Technology Select Sector SPDR ETF (XLK) is a prominent exchange-traded fund offering focused exposure to the U.S. information technology sector.

With a substantial $121.08 billion in assets under management as of 2026-09-07, it tracks the performance of the Technology Select Sector Index through a full replication technique. The ETF distinguishes itself with a highly competitive expense ratio of 0.0800%, positioning it as a cost-effective option for investors seeking concentrated exposure to technology giants like NVIDIA, Apple, and Microsoft.

State Street Technology Select Sector SPDR ETF (XLK) ETF — Price, Holdings & Analysis

The State Street Technology Select Sector SPDR ETF (XLK) is a prominent exchange-traded fund offering focused exposure to the U.S. information technology sector. With a substantial $121.08 billion in assets under management as of 2026-09-07, it tracks the performance of the Technology Select Sector Index through a full replication technique. The ETF distinguishes itself with a highly competitive expense ratio of 0.0800%, positioning it as a cost-effective option for investors seeking concentrated exposure to technology giants like NVIDIA, Apple, and Microsoft.

ETF Overview

The Select Sector SPDR Trust - State Street Technology Select Sector SPDR ETF is an exchange traded fund launched by State Street Global Advisors, Inc. It is managed by SSGA Funds Management, Inc. The fund invests in public equity markets of the United States. It invests in stocks of companies operating across information technology sectors. It invests in growth and value stocks of companies across diversified market capitalization. The fund seeks to track the performance of the Technology Select Sector Index, by using full replication technique. The Select Sector SPDR Trust - State Street Technology Select Sector SPDR ETF was formed on December 16, 1998 and is domiciled in the United States.

The State Street Technology Select Sector SPDR ETF (XLK) is designed to provide targeted exposure to the information technology segment of the U.S. equity market. Launched on December 16, 1998, the fund employs a full replication strategy to mirror the performance of the Technology Select Sector Index. This means it aims to hold all the securities in the index in approximately the same proportions as the index itself. XLK invests in public equity markets within the United States, focusing on companies across the information technology sectors, encompassing both growth and value stocks, and spanning diversified market capitalizations. Its investment approach results in a highly concentrated portfolio within the technology sector, with 99.8% of its allocation dedicated to Technology. The fund's top holdings illustrate this focus, including NVIDIA Corp (14.91%), Apple Inc (12.99%), Microsoft Corp (10.21%), Broadcom Inc (4.56%), and Micron Technology Inc (4.01%). This strategy is distinct in its sector-specific, rather than broad market, approach, making it suitable for investors looking for direct exposure to the performance of large-cap U.S. technology companies.

Risk Metrics

Investing in the State Street Technology Select Sector SPDR ETF (XLK) involves specific risk considerations primarily due to its highly concentrated nature. The fund exhibits significant concentration risk, with its top three holdings—NVIDIA Corp (14.91%), Apple Inc (12.99%), and Microsoft Corp (10.21%)—collectively accounting for over 38% of the total portfolio. This means the fund's performance is heavily influenced by the individual performance of these few companies. Furthermore, XLK carries substantial sector-specific risk, as 99.8% of its assets are allocated to the Technology sector. Any downturns or regulatory changes impacting the broader technology industry could disproportionately affect the fund's value. The ETF's 3-year Beta of 1.34 indicates that it has historically been more volatile than the broader market, suggesting potentially larger price swings in response to market movements. While the expense ratio of 0.0800% is very low and minimizes expense drag, the inherent risks stemming from concentration and sector specificity remain central to XLK's risk profile.

Expense Ratio

0.08%

What does XLK hold?

Holding	Weight
NVIDIA CORP (NVDA)	14.91%
APPLE INC (AAPL)	12.99%
MICROSOFT CORP (MSFT)	10.21%
BROADCOM INC (AVGO)	4.56%
MICRON TECHNOLOGY INC (MU)	4.01%
ADVANCED MICRO DEVICES (AMD)	3.82%
INTEL CORP (INTC)	2.98%
CISCO SYSTEMS INC (CSCO)	2.82%
PALANTIR TECHNOLOGIES INC A (PLTR)	2.76%
LAM RESEARCH CORP (LRCX)	2.41%

How Is the Fund Allocated?

Sector	Weight
Technology	99.8%
Energy	0.1%
Cash & Others	0.0%

Country	Weight
United States	97.2%
Ireland	1.2%
Singapore	1.2%
Netherlands	0.4%
Other	0.0%

Dividend Yield

0.43%

iShares Russell 2000 ETF (IWM) — 0.19% expense ratio
ARK Innovation ETF (ARKK) — 0.75% expense ratio
Invesco QQQ Trust, Series 1 (QQQ) — 0.18% expense ratio
iShares MSCI Emerging Markets ETF (EEM) — 0.72% expense ratio
iShares MSCI EAFE ETF (EFA) — 0.32% expense ratio
State Street Energy Select Sector SPDR ETF (XLE) — 0.08% expense ratio
State Street SPDR S&P 500 ETF (SPY) — 0.09% expense ratio
State Street Financial Select Sector SPDR ETF (XLF) — 0.08% expense ratio

State Street SPDR S&P 500 ETF (SPY) (Equity) — 0.09% expense ratio
State Street Energy Select Sector SPDR ETF (XLE) (Equity) — 0.08% expense ratio
State Street Financial Select Sector SPDR ETF (XLF) (Equity) — 0.08% expense ratio
State Street SPDR Dow Jones Industrial Average ETF Trust (DIA) (Equity) — 0.16% expense ratio
State Street SPDR S&P Kensho Future Security ETF (FITE) (Equity) — 0.45% expense ratio
State Street SPDR S&P Homebuilders ETF (XHB) (Equity) — 0.35% expense ratio

Risk Metrics

Beta: 1.34

Questions & Answers

What is XLK and what does it track?

XLK, the State Street Technology Select Sector SPDR ETF, is an exchange-traded fund launched by State Street Global Advisors, Inc. It aims to track the performance of the Technology Select Sector Index, which comprises U.S.

companies operating within the information technology sectors.

What is the expense ratio for XLK?

The expense ratio for the State Street Technology Select Sector SPDR ETF (XLK) is 0.0800%. This figure is notably low, especially when compared to the broader equity ETF category average, which is often around 0.44%.

What are the top holdings in XLK?

As of 2026-09-07, the State Street Technology Select Sector SPDR ETF (XLK) maintains a concentrated portfolio in its top holdings, reflecting its sector-specific focus. The largest allocation is to NVIDIA Corp (NVDA) at 14.91% of the fund's assets.

Following closely are Apple Inc (AAPL) with 12.99% and Microsoft Corp (MSFT) with 10.21%.

Is XLK a good long-term investment?

Evaluating XLK as a long-term investment involves considering its structural characteristics and historical context. The fund, established on December 16, 1998, has a long track record in the U.S. technology sector.

Its low expense ratio of 0.0800% and substantial AUM of $121.08 billion are factors that can contribute to its operational efficiency.

How does XLK compare to similar ETFs?

XLK distinguishes itself among technology-focused ETFs primarily through its structure as a Select Sector SPDR fund, tracking a specific segment of the S&P 500.

Its expense ratio of 0.0800% is highly competitive, often lower than many actively managed or even some passively managed technology ETFs.

Does XLK pay dividends?

Yes, the State Street Technology Select Sector SPDR ETF (XLK) does pay dividends. As of 2026-09-07, the fund has a dividend yield of 0.43%.

This yield is derived from the dividends paid by the underlying companies held within the ETF's portfolio, which are then passed on to XLK shareholders.

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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