State Street Technology Select Sector SPDR ETF
XLK SectorUpdated: Jul 4, 2026, 21:17 UTC
Key Metrics
Top 10 Holdings
| Holding | Ticker | Weight | Bar |
|---|---|---|---|
| NVIDIA Corp | NVDA | 13.07% | |
| Apple Inc | AAPL | 11.67% | |
| Microsoft Corp | MSFT | 8.52% | |
| Micron Technology Inc | MU | 6.78% | |
| Broadcom Inc | AVGO | 5.4% | |
| Advanced Micro Devices Inc | AMD | 5.22% | |
| Intel Corp | INTC | 3.34% | |
| Cisco Systems Inc | CSCO | 2.95% | |
| Lam Research Corp | LRCX | 2.47% | |
| Oracle Corp | ORCL | 2.38% |
Sector Allocation
About This ETF
The State Street Technology Select Sector SPDR ETF (XLK) is a Sector ETF with an expense ratio (TER) of 0.08% and $124.5B in assets under management., with its largest holdings being NVIDIA Corp, Apple Inc, Microsoft Corp. The ETF currently yields 0.4% in dividends. Year-to-date, XLK has returned +25.45%. With an expense ratio of just 0.08%, it is one of the cheapest ETFs in its category.
In seeking to track the performance of the index, the fund employs a replication strategy, which means that the fund typically invests in substantially all of the securities represented in the index in approximately the same proportions as the index. It generally invests substantially all, but at least 95%, of its total assets in the securities comprising the index. The fund is non-diversified.
FAQ — XLK
What is the TER of XLK (State Street Technology Select Sector SPDR ETF)?
XLK has a Total Expense Ratio (TER) of 0.08 % per year. That sits at the sector category median (0.08 % across 13 peer ETFs). The TER is deducted directly from the fund and lowers your effective return.
What return has XLK delivered?
Performance for XLK: YTD: +25.45 % · 3-year p.a.: +28.53 % · 5-year p.a.: +20.13 %. Over 5 years, XLK outperforms the sector category median of +6.75 % by +13.38 pp. Past performance is no guarantee of future returns.
What are the top holdings of XLK?
The five largest positions in XLK are: NVDA, AAPL, MSFT, MU, AVGO. The full holdings list is updated daily on this page.
Does XLK pay dividends?
XLK has a current dividend yield of 0.40 %. Distributing ETFs pay this out in cash; accumulating versions reinvest it inside the fund. Check the share class on your broker before buying.
Where can I buy or set up a savings plan for XLK?
XLK is available at most major brokers. For a free monthly savings plan from €1, look at Trade Republic, Scalable Capital or Flatex. The broker comparison on this site shows fees, free-savings-plan ETFs and execution exchanges side by side.
What the Technology Select Sector SPDR ETF Is
The State Street Technology Select Sector SPDR ETF (ticker XLK) packages the largest U.S. technology companies into a single exchange-traded fund, with an expense ratio of just 0.08 % and roughly $103.3B in assets under management. At 99.1 % technology weighting, it is a pure sector instrument — not a broad market index. Heavyweights such as NVIDIA, Apple and Microsoft drive its performance. For investors looking to target the technology sector directly, XLK is one of the most liquid and lowest-cost options available.
Performance & Drivers
Recent figures show a pronounced uptrend: 29.65 % year to date, 31.72 % over three years and 22.68 % over five years (annualized). With a 52-week position of 99 %, the price sits virtually at its yearly high of $187.58, well above the low of $113.71.
This run has been carried above all by heavy concentration in semiconductor and software leaders: NVIDIA (14.78 %), Apple (12.14 %), Microsoft (9.23 %) and Broadcom (6.03 %). The ongoing investment cycle around artificial intelligence and cloud infrastructure has been a central driver. The dividend yield of 0.48 % is modest — XLK is clearly geared toward capital growth rather than income.
Risk Profile
XLK carries pronounced single-sector concentration risk: 99.1 % of the portfolio sits in technology, and the three largest positions alone exceed 36 %. The fund is non-diversified. A downturn in technology — from rising rates, regulatory pressure or a fading AI investment cycle — can trigger outsized losses.
Euro-area investors face an additional currency risk: the fund is denominated in U.S. dollars. If the dollar weakens against the euro, this erodes returns regardless of price performance. The high 52-week position near the high also points to elevated pullback risk should sentiment turn.
Who XLK Suits
XLK fits conviction-driven, risk-tolerant investors with a long time horizon who want targeted exposure to the growth potential of the U.S. technology sector and can withstand volatility. As a satellite holding alongside a broadly diversified core portfolio, it can add a clear growth tilt.
It is less suitable for:
- Investors seeking a broadly diversified core holding — XLK is a concentrated sector instrument.
- Income-focused investors — the 0.48 % dividend yield is low.
- Short-term or highly volatility-averse individuals.
This is not investment advice.
How It Compares
Within the same segment, XLK competes with several U.S. technology sector funds from other issuers:
- Vanguard Information Technology ETF (VGT): broader in scope with more mid-cap technology names and a similarly low expense ratio.
- iShares U.S. Technology ETF (IYW): includes large internet platforms alongside classic technology, though typically a bit pricier.
- Fidelity MSCI Information Technology Index ETF (FTEC): a very low-cost alternative with broad coverage within the sector.
XLK stands out for deep liquidity, low cost and heavy mega-cap weighting — which also makes it particularly concentrated.
Where can I buy XLK?
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