We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Is State Street SPDR NYSE Technology ETF (XNTK) a Strong ETF Right Now?
Read MoreHide Full Article
Launched on 09/25/2000, the State Street SPDR NYSE Technology ETF (XNTK - Free Report) is a smart beta exchange traded fund offering broad exposure to the Technology ETFs category of the market.
What Are Smart Beta ETFs?
For a long time now, the ETF industry has been flooded with products based on market capitalization weighted indexes, which are designed to represent the broader market or a particular market segment.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
There are some investors, though, who think it's possible to beat the market with great stock selection; this group likely invests in another class of funds known as smart beta, which track non-cap weighted strategies.
By attempting to pick stocks that have a better chance of risk-return performance, non-cap weighted indexes are based on certain fundamental characteristics, or a combination of such.
Even though this space provides many choices to investors--think one of the simplest methodologies like equal-weighting and more complicated ones like fundamental and volatility/momentum based weighting--not all have been able to deliver first-rate results.
Fund Sponsor & Index
Because the fund has amassed over $1.48 billion, this makes it one of the larger ETFs in the Technology ETFs. XNTK is managed by State Street Investment Management. This particular fund, before fees and expenses, seeks to match the performance of the NYSE Technology Index.
The NYSE Technology Index is composed of 35 leading U.S.-listed technology-related companies.
Cost & Other Expenses
Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.
Operating expenses on an annual basis are 0.35% for XNTK, making it one of the least expensive products in the space.
The fund has a 12-month trailing dividend yield of 0.24%.
Sector Exposure and Top Holdings
ETFs offer diversified exposure and thus minimize single stock risk, but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
XNTK's heaviest allocation is in the Information Technology sector, which is about 74% of the portfolio. Its Consumer Discretionary and Telecom round out the top three.
Taking into account individual holdings, Palantir Technologies Inc A (PLTR) accounts for about 5.23% of the fund's total assets, followed by Alibaba Group Holding Sp Adr (BABA) and Micron Technology Inc (MU).
The top 10 holdings account for about 39.83% of total assets under management.
Performance and Risk
The ETF has gained about 38.96% so far this year and it's up approximately 34.99% in the last one year (as of 12/03/2025). In the past 52-week period, it has traded between $164.46 and $294.46
The ETF has a beta of 1.31 and standard deviation of 24.86% for the trailing three-year period. With about 37 holdings, it has more concentrated exposure than peers .
Alternatives
State Street SPDR NYSE Technology ETF is an excellent option for investors seeking to outperform the Technology ETFs segment of the market. There are other ETFs in the space which investors could consider as well.
Technology Select Sector SPDR ETF (XLK) tracks Technology Select Sector Index and the Vanguard Information Technology ETF (VGT) tracks MSCI US Investable Market Information Technology 25/50 Index. Technology Select Sector SPDR ETF has $94.76 billion in assets, Vanguard Information Technology ETF has $114.19 billion. XLK has an expense ratio of 0.08% and VGT changes 0.09%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Technology ETFs
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Is State Street SPDR NYSE Technology ETF (XNTK) a Strong ETF Right Now?
Launched on 09/25/2000, the State Street SPDR NYSE Technology ETF (XNTK - Free Report) is a smart beta exchange traded fund offering broad exposure to the Technology ETFs category of the market.
What Are Smart Beta ETFs?
For a long time now, the ETF industry has been flooded with products based on market capitalization weighted indexes, which are designed to represent the broader market or a particular market segment.
Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.
There are some investors, though, who think it's possible to beat the market with great stock selection; this group likely invests in another class of funds known as smart beta, which track non-cap weighted strategies.
By attempting to pick stocks that have a better chance of risk-return performance, non-cap weighted indexes are based on certain fundamental characteristics, or a combination of such.
Even though this space provides many choices to investors--think one of the simplest methodologies like equal-weighting and more complicated ones like fundamental and volatility/momentum based weighting--not all have been able to deliver first-rate results.
Fund Sponsor & Index
Because the fund has amassed over $1.48 billion, this makes it one of the larger ETFs in the Technology ETFs. XNTK is managed by State Street Investment Management. This particular fund, before fees and expenses, seeks to match the performance of the NYSE Technology Index.
The NYSE Technology Index is composed of 35 leading U.S.-listed technology-related companies.
Cost & Other Expenses
Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.
Operating expenses on an annual basis are 0.35% for XNTK, making it one of the least expensive products in the space.
The fund has a 12-month trailing dividend yield of 0.24%.
Sector Exposure and Top Holdings
ETFs offer diversified exposure and thus minimize single stock risk, but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.
XNTK's heaviest allocation is in the Information Technology sector, which is about 74% of the portfolio. Its Consumer Discretionary and Telecom round out the top three.
Taking into account individual holdings, Palantir Technologies Inc A (PLTR) accounts for about 5.23% of the fund's total assets, followed by Alibaba Group Holding Sp Adr (BABA) and Micron Technology Inc (MU).
The top 10 holdings account for about 39.83% of total assets under management.
Performance and Risk
The ETF has gained about 38.96% so far this year and it's up approximately 34.99% in the last one year (as of 12/03/2025). In the past 52-week period, it has traded between $164.46 and $294.46
The ETF has a beta of 1.31 and standard deviation of 24.86% for the trailing three-year period. With about 37 holdings, it has more concentrated exposure than peers .
Alternatives
State Street SPDR NYSE Technology ETF is an excellent option for investors seeking to outperform the Technology ETFs segment of the market. There are other ETFs in the space which investors could consider as well.
Technology Select Sector SPDR ETF (XLK) tracks Technology Select Sector Index and the Vanguard Information Technology ETF (VGT) tracks MSCI US Investable Market Information Technology 25/50 Index. Technology Select Sector SPDR ETF has $94.76 billion in assets, Vanguard Information Technology ETF has $114.19 billion. XLK has an expense ratio of 0.08% and VGT changes 0.09%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Technology ETFs
Bottom Line
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.