ETFs to Buy: Energy SPDR (XLE)
Finally, I like the other thing that makes the world go around, and that’s energy. The world will need oil well past our lifetimes, and while alternative energy is growing in use, significant adoption on a huge scale just isn’t realistic right now. There is no sign of oil prices cratering, and gasoline prices remain at historic highs.
The Energy SPDR (XLE) is all about oil and natural gas, with its top 10 holdings — representing a pretty hefty 58% of assets — are 10 of the greatest energy companies in the world.We’re talking names like Exxon Mobil and Chevron (CVX), which as a pair represent almost 30% of the fund’s total weight.
XLE yields 1.8% in dividends and matches the Financial SPDR in expenses at 0.16%.
As of this writing, Lawrence Meyers was long BRK.B. He is president of PDL Broker, Inc., which brokers financing, strategic investments and distressed asset purchases between private equity firms and businesses. He also has written two books and blogs about public policy, journalistic integrity, popular culture, and world affairs. Contact him at firstname.lastname@example.org and follow his tweets @ichabodscranium.