5 SPDR ETFs that help millionaires retire

There are countless exchange-traded funds (ETFs) to choose from. You can invest in everything from Bitcoin to pet care.

But in my opinion, some of the best ETFs out there are the SPDR ETFs. S&P Global. Let’s take a look at five of my favorites. It may help an investor grow his nest egg to his $1 million, or even more.

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SPDR S&P Semiconductor ETF

At the top of the list of SPDR ETFs are: SPDR S&P Semiconductor ETF (XSD -0.78%). ETFs focused on the semiconductor sectorhas an excellent performance history since 2009, with an annualized return of 22.3%, making this ETF the best performer of the five listed here.

The fund’s main holdings include well-known companies such as Nvidia, AMD, and Broadcom, but it also holds stakes in lesser-known semiconductor stocks, including: lambus and Impini.

Admittedly, investors will pay a little more money for this ETF.The expense ratio is 0.35%, meaning a $10,000 investment will incur $35 in fees. However, this ratio is still below the average ETF expense ratio of 0.57%.

Finally, with a meager 0.3% dividend yield, this is not a fund for income-seeking investors.

Technology Select Sector SPDR ETF

next, technology select sector SPDR ETF (XLK -1.51%).

This ETF focuses on the tech sector and ranks as one of the leading tech holdings. microsoft, appleand Nvidia.Plus, other tech stocks including: advanced micro device, Cisco systemand sales forceexamine the top 10 holdings list.

Due to its tech-focused nature, this fund has a modest dividend yield Only 0.7%. On the other hand, the expense ratio is 0.09%, so investors will pay only $9 in fees per $10,000 invested each year.

Since 2009, the fund has delivered an impressive annual return of 20.4%.

SPDR S&P 500 Growth ETF

What I like is: SPDR S&P 500 Growth ETF (SPYG -1.19%) The fund’s broad range of growth stocks.

It is true that the top holdings of the company are Microsoft, NVIDIA, alphabetand Amazon, but beyond that list, this fund has a good mix of stocks from other sectors. For example, consumer stocks account for 14% of holdings, while healthcare and industrial stocks account for 7% and 6%, respectively.

Even better, investors pay the lowest fees. The fund’s expense ratio is just 0.04%, or $4 for every $10,000 invested. Additionally, the fund has a dividend yield of 1.1%, providing a light source of income for investors who appreciate but don’t rely on cash flow.

Finally, with an annualized return of 16.1% since 2009, this ETF has outperformed the entire population. S&P500 The difference was a few percentage points for more than a decade.

SPDR S&P 500 ETF Trust

Sometimes you want to keep things simple. And that’s exactly SPDR S&P 500 ETF Trust (spy -0.69%) I’ll make an offer. As the largest ETF by trading volume, this is the go-to ETF for countless investors.

The Fund tracks: S&P500is a very technology-centric index at the moment, thanks to the market capitalization of giant technology companies such as Apple, Microsoft, Nvidia, and other “Magnificent Seven” stocks.

Either way, this ETF is hard to ignore. Almost any portfolio can benefit from some level of exposure. Additionally, investors aren’t going to pay an arm and a leg to own shares in this ETF. The fund’s expense ratio is 0.09%, which is well below average, and the fund’s dividend yield is 1.4%, which is not high, but nothing to write home about.

Overall, this is a great ETF for those who want to “set it and forget it.” And with an annualized return of 14.2% through 2009, this fund can help many investors achieve their retirement goals.

SPDR S&P 500 Value ETF

lastly, SPDR S&P 500 Value ETF (Spive -0.18%). Admittedly, this value-focused ETF hasn’t performed as well as its technology-focused or growth-focused sister funds. However, for value-seeking investors, this ETF is one to consider. Total returns have grown at a compound annual rate of 12.1% since 2009, which is still below the S&P 500’s overall returns, but still strong.

Additionally, the fund’s large holdings in financial services and healthcare stocks, which account for 22% and 19% of assets, compare with the tech holdings of the other four ETFs we’ve discussed so far. , offering much-needed diversity.

Finally, the fund’s 1.7% dividend yield isn’t an income investor’s dream, but it’s slightly above average when compared to the S&P 500’s overall dividend yield. Even better, this fund’s expense ratio is almost as low as his 0.04%.

In summary, each of these five SPDR ETFs offers something different. So whether you’re a young investor looking for a growth-oriented portfolio or a value-oriented investor looking for a buy-and-hold fund, there’s something for everyone. And for many investors, one or more of these funds could help retire a billionaire.