Better Aviation ETF: State Street's Aerospace-Focused XAR vs. U.S. Global's JETS Targeting Airlines
State Street's defense-targeted fund delivered $2,190 on a $1,000 five-year investment versus $1,415 for the airline-heavy competitor.
Overview
The State Street SPDR S&P Aerospace & Defense ETF (NYSEMKT:XAR) provides more affordable access to the defense and aircraft manufacturing industry, whereas the U.S. Global Jets ETF (NYSEMKT:JETS) focuses specifically on global airline operators.
Investors looking to gain exposure to the aviation sector may find these two funds offer very different risk-return profiles. While one fund focuses on the cyclical nature of commercial travel, the other aligns with broader industrial manufacturing and national security spending.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-year return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Source
Originally published at www.fool.com.