XLU

The Utilities Select Sector SPDR Fund (XLU) invests primarily in large‑cap U.S. companies that operate within the utilities industry, including electric, gas, water, multi‑utility and renewable power producers. The fund follows a full‑replication, market‑cap‑weighted approach to track the Utilities Select Sector Index, holding the majority of the index’s constituents. Because utilities tend to offer stable cash flows and lower price volatility, XLU can be a useful component for income‑focused or defensive investors, as well as for those looking to add sector‑specific exposure or a low‑beta tilt within a diversified equity portfolio.