Vanguard Energy vs. SPDR Oil & Gas Exploration: Which ETF Suits Your Portfolio Best?
VDE's broader portfolio and lower costs deliver superior five-year returns, but XOP's equal-weight strategy may appeal to investors seeking concentrated upstream exposure.
Overview
The Vanguard Energy ETF (NYSEMKT:VDE) offers a broad, market-cap-weighted approach to the energy sector, while the State Street SPDR S&P Oil & Gas Exploration & Production ETF (NYSEMKT:XOP) provides equal-weighted exposure to upstream producers.
Energy investors often choose between broad sector coverage and targeted industry plays. Both funds focus on the oil and gas space, but their construction methods lead to different risk profiles and return drivers. This comparison examines how these two heavyweights stack up on cost, performance, and portfolio makeup.
The 1-year return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Details
Source
Originally published at www.fool.com.