XBI

The SPDR S&P Biotech ETF (XBI) invests primarily in U.S. biotechnology and pharmaceutical companies, holding a broad basket of small‑ and mid‑cap stocks that develop drugs, diagnostics, and related technologies. Its strategy follows an equal‑weight approach to the S&P Biotechnology Select Industry Index, regularly rebalancing to maintain balanced exposure across the sector rather than concentrating on the largest firms. The fund is suited to investors who want targeted, diversified exposure to the biotech industry and are comfortable with the higher volatility and growth orientation typical of this sector.