 The
S&P 500 Ex-Fossil Fuel ETF SPDR (SPYX) is an exchange-traded fund
(ETF) that seeks to provide investors with exposure to the US equity
market, while excluding companies involved in the exploration,
production, and distribution of fossil fuels. The ETF's objective is
to track the performance of the S&P 500 Fossil Fuel Free Index, which
is a widely recognized benchmark for US large-cap stocks that are not
involved in the fossil fuel industry.
SPYX invests in a
portfolio of US large-cap stocks included in the S&P 500 Index, with
the goal of providing investors with exposure to the broad US equity
market, while excluding companies involved in the fossil fuel
industry. The ETF's holdings are selected based on factors such as
liquidity, market capitalization, and sector classification.
As
of September 2021, the SPYX ETF has a net asset value (NAV) of
approximately $3 billion and holds a portfolio of over 450 US
large-cap stocks. The ETF's expense ratio is 0.20%, which is
relatively low compared to other ETFs.
SPYX has a track record
of providing investors with solid returns, while focusing on socially
responsible investing. Since its inception in 2015, the fund has
provided investors with an annualized return of around 14% (as of
March 23, 2023).
Overall, the S&P 500 Ex-Fossil Fuel ETF SPDR
(SPYX) could be a good investment option for investors looking to
invest in the broad US equity market, while also focusing on socially
responsible investing. However, as with any investment, it is
important to conduct thorough research and consider factors such as
risk tolerance, investment objectives, and fees before making a
decision. Additionally, investors should be aware that excluding the
fossil fuel industry may impact the ETF's performance during periods
when the fossil fuel sector is outperforming the broader market.
|
