Select Sector SPDR Assets Soar in '03; They're Not So ``Itsy Bitsy''.Business Editors NEW YORK--(BUSINESS WIRE)--Jan. 20, 2004 S&P Select Sector SPDRs SPDRs SPDRs (Spiders) are designed to track the value of the Standard & Poor's 500 Composite Price Index. Stands for Standard & Poor's Depositary Receipt. They trade on the American Stock Exchange under the symbol SPY. , a family of exchange-traded funds Exchange-traded funds (or ETFs) are Open Ended investment companies that can be traded at any time throughout the course of the day. Typically, ETFs try to replicate a stock market index such as the S&P 500 (e.g. (ETFs) that divide the Standard & Poor's 500 index into nine individual sector index funds, announced that its assets climbed 90% to $6.2 billion in 2003. In the same year the entire ETF ETF See Exchange Traded Fund. ETF See exchange-traded fund (ETF). category grew by 53%. Leading 2003 asset growth across the nine sectors was Materials, up 191%, closely followed by Healthcare, which rose 188%, and Industrials, which grew 148%. "Investors are becoming increasingly aware of the benefits offered by sector investing," said Dan Dolan Dolan is a surname, and the following people:
The Standard and Poor's depositary receipt. This is a tracking stock which trades like an index mutual fund which follows the S&P 500. It trades continuously. SPDR See Standard amp; Poor's Depositary Receipt (SPDR). Trust, and the architect of Select Sector SPDRs. "These investors, especially individual investors and financial advisors, are finding that by unbundling A regulatory requirement that enables a competing service provider to purchase parts of the incumbent local exchange carrier's network in order to provide service to its customers. See ILEC. the S&P 500 they can gain exposure to the sectors that make the most sense for their portfolios, allowing them to meet their investing goals in a more precise, controlled way." A chart reflecting the asset growth in each of the S&P 500's nine sectors follows.
2003
S&P Sector SPDR Fund Symbol Assets 12/31/03 Assets 12/31/02 Growth
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Materials XLB $740,647,500.00 $254,198,625.00 191%
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Healthcare XLV $455,265,000.00 $157,886,375.00 188%
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Industrial XLI $584,706,000.00 $235,350,084.00 148%
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Utilities XLU $1,286,672,830.00 $534,113,607.00 141%
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Energy XLE $633,650,000.00 $288,826,674.00 119%
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Consumer
Discretionary XLY $280,261,000.00 $130,742,538.00 114%
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Financial XLF $799,060,780.00 $451,084,511.00 77%
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Consumer Staples XLP $304,920,000.00 $229,596,701.00 33%
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Technology XLK $1,096,464,380.00 $971,628,078.00 13%
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$6,181,647,490.00 $3,253,427,193.00 90%
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About Select Sector SPDRs Select Sector SPDRs are unique ETFs that divide the S&P 500 into nine sector index funds: Consumer Discretionary, Consumer Staples Consumer Staples The industries that manufacture and sell food/beverages, tobacco, prescription drugs, and household products. Notes: Proctor and Gamble would be considered a consumer staple company because many of its products are household and food related. , Energy, Financials, Healthcare, Industrials, Materials, Technology and Utilities. Select Sector SPDRs allow investors to customize their portfolios by picking and weighting the sectors to meet specific investment goals. Select Sector SPDR shares are actively traded on the American Stock Exchange American Stock Exchange (AMEX) Stock exchange in the U.S. Originally known as “the Curb,” it began as an outdoor marketplace in New York City c. 1850. It moved indoors to its present location in the Wall Street area in 1921. throughout the trading day In Business, the trading day is the time span that a particular stock exchange is open. For example, the New York Stock Exchange is, as of 2006, open from 09:30AM to 4:00PM. Trading days never take place on weekends. providing the attributes of a mutual fund, the focus of a sector fund, and the tradability of a stock. For more information, or to obtain a prospectus, which contains information including risks, visit www.spdrindex.com. Please read the prospectus carefully before investing. SSgA Funds Management, Inc. serves as the Adviser to the Trust and, subject to the supervision of the Board of Trustees board of trustees Politics The posse of thugs who oversee an institution's administration. See Board of directors. , is responsible for the investment management of the Select Sector SPDR Funds. The Select Sector SPDR is a trademark of the McGraw-Hill Companies, Inc. and has been licensed for use. The stocks included in each Select Sector Index were selected by the compilation Compiling a program. See compiler. agent. The composition and weighting of each Index can be expected to differ to that of any similar index that is published by Standard & Poor's. Select Sector SPDRs bear a higher level of risk than more broadly diversified funds Diversified Fund A type of investment fund that contains a wide array of securities and is adequately diversified. A mutual fund classified as a "diversified fund" will actively maintain a high level of diversification in its holdings, thus reducing the amount of risk in the fund, . Select Sector SPDRs are distributed by ALPS Alps, great mountain system of S central Europe, c.500 mi (800 km) long and c.100 mi (160 km) wide, curving in a great arc from the Riviera coast on the Mediterranean Sea, along the borders of N Italy and adjacent regions of SE France, Switzerland, SW Germany, and Distributors Inc. |
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