Are you looking for the best performing healthcare ETFs to add to your portfolio this quarter?
Are you looking for the best performing healthcare ETFs to add to your portfolio this quarter? Investing in healthcare ETFs can be a great way to diversify your portfolio and gain exposure to different sectors in the healthcare industry. With so many ETFs to choose from, it can be difficult to narrow down which ones to invest in. To help make the decision easier, this blog post will provide an overview of the top 10 best-performing healthcare ETFs for Q4 this year. We will discuss their performance, holdings, fees, and more to help you decide which one is right for you.
1) iShares Dow Jones US Medical Devices Index Fund (IHI)
Investors looking to gain exposure to the medical devices sector should consider the iShares Dow Jones US Medical Devices Index Fund (IHI). This exchange-traded fund (ETF) seeks to track the investment results of the Dow Jones U.S. Select Medical Equipment & Supplies Index, which measures the performance of publicly traded companies that are engaged in the design, manufacture, and distribution of medical equipment and supplies.
IHI has grown by over 15% this quarter, providing investors with a solid opportunity for returns. It is the only ETF on this list focused solely on the medical devices sector, so it offers a unique way to gain exposure to this particular industry. The fund’s top holdings include large companies such as Medtronic, Boston Scientific Corporation, Intuitive Surgical, Stryker Corporation, and Philips Healthcare.
2) SPDR S&P Biotech ETF (XBI)
The SPDR S&P Biotech ETF (XBI) is one of the best-performing healthcare ETFs this quarter. This ETF tracks the S&P Biotechnology Select Industry Index, a benchmark of US-listed stocks in the biotechnology and pharmaceutical industries. It holds about 200 different securities, including small-cap and mid-cap stocks, as well as large-cap stocks.
The XBI ETF has seen a great performance this quarter, with a return of more than 20%. This return was driven by a strong performance from several stocks within the fund, including biotech stalwarts such as Gilead Sciences and Biogen.
Investors should be aware that the XBI ETF does come with some risks, as it can be volatile due to its focus on the biotechnology and pharmaceutical sectors. However, if you are looking for an ETF with strong potential for growth, the XBI could be a great option.
3) Vanguard Health Care Index Fund (VHT)
The Vanguard Health Care Index Fund (VHT) is one of the top 10 best performing healthcare ETFs for Q4 of this year. VHT seeks to track the performance of the U.S. healthcare sector by investing in a portfolio of common stocks, representing all major market capitalization ranges.
VHT is a passively managed ETF, meaning it tracks an index that doesn’t actively manage its holdings like a typical mutual fund. This helps keep costs low, allowing investors to benefit from the ETF’s high performance without incurring additional expenses. VHT has a total net asset value of $15.2 billion, with a 0.04% expense ratio and an average trading volume of over 7 million shares a day.
4) iShares Nasdaq Biotechnology Index (IBB)
The iShares Nasdaq Biotechnology Index (IBB) is one of the best-performing healthcare ETFs for Q4 this year. The fund has a wide range of stocks from the biotechnology and pharmaceutical industries, giving it broad exposure to these sectors. It also has a low expense ratio of 0.48% which makes it an attractive choice for investors looking for low-cost ETFs.
The IBB has a good mix of mid and large-cap stocks, making it well-diversified. Its top holdings include companies such as Amgen, Celgene, and Gilead Sciences. It has a total return of 17.87% so far this quarter and has outperformed the S&P 500 by 4.66%.
The fund is suitable for investors who want exposure to the biotechnology and pharmaceutical industries without taking on too much risk. It has low volatility, which makes it a good option for those who want to protect their capital. The IBB also pays out a dividend yield of 0.77%, providing investors with another source of income.
Overall, the iShares Nasdaq Biotechnology Index (IBB) is a great choice for those looking to invest in the healthcare sector this quarter. Its diversified portfolio and low cost make it an attractive option for investors of all risk levels.
5) SPDR S&P Pharmaceuticals ETF (XPH)
The SPDR S&P Pharmaceuticals ETF (XPH) is one of the top best performing healthcare ETFs to watch this quarter. The fund tracks the S&P Pharmaceuticals Select Industry Index, which is designed to measure the performance of the pharmaceuticals sub-industry of the US healthcare sector.
The fund is made up of pharmaceutical companies, including major global companies like Pfizer, Johnson & Johnson, and Merck. XPH also holds shares in several biotechnology firms, such as Amgen and Gilead Sciences.
The fund has performed well in Q4 of 2022, with a total return of 8.95%, slightly outperforming the S&P 500. XPH has an expense ratio of 0.35%, making it a cost-effective choice for investors looking to gain exposure to the healthcare sector.
In addition, XPH offers relatively low volatility compared to the overall market, making it a good choice for conservative investors who want to stay diversified while still taking advantage of the upside potential offered by the healthcare sector.
Given its excellent performance this quarter, the SPDR S&P Pharmaceuticals ETF (XPH) is definitely one of the top healthcare ETFs to watch this quarter.
6) First Trust NYSE Arca Biotechnology Index (FBT)
The First Trust NYSE Arca Biotechnology Index (FBT) is one of the top-performing healthcare ETFs for Q4 this year. With a return of nearly 11%, it has consistently outperformed the S&P 500, Nasdaq, and other healthcare ETFs.
FBT tracks the performance of a select group of biotechnology stocks listed on the NYSE Arca exchange. It is designed to provide exposure to biotechnology companies engaged in research and development, as well as those involved in the commercialization of products derived from genetic engineering and biotechnology.
Investors looking to take advantage of the outperformance of FBT in Q4 should be aware of the risks associated with investing in a sector-specific fund. Biotechnology can be an unpredictable sector, and it is possible to experience sharp price fluctuations due to news events or economic shifts.
7) Rydex S&P Equal Weight Health Care (RYH)
Rydex S&P Equal Weight Health Care (RYH) is one of the top 10 healthcare ETFs for Q4 this year. RYH seeks to provide investors with comprehensive exposure to large and mid-sized healthcare companies in the United States. The fund holds the stocks of all companies in the S&P 500 Healthcare Sector Index, in equal weightings, and is rebalanced quarterly.
RYH has returned an impressive 11.3% over the last 12 months, making it one of the best-performing healthcare ETFs of the year. The fund has an expense ratio of 0.40% and an average volume of $20 million. With its portfolio diversification and low fees, RYH provides a great way for investors to gain exposure to the healthcare sector while mitigating risk.
8) PowerShares Dynamic Pharmaceuticals (PJP)
When it comes to healthcare investing, PowerShares Dynamic Pharmaceuticals (PJP) is one of the top ETFs to watch this quarter. PJP offers exposure to pharmaceutical companies around the world, including U.S. and international markets. It tracks an index composed of companies involved in the development, manufacture, and distribution of pharmaceutical products.
PJP’s portfolio consists of a variety of pharmaceutical stocks across different sectors such as large-cap, mid-cap, and small-cap. The ETF also has a good balance between growth and value stocks. It holds the stocks of companies like Pfizer, Merck & Co., and GlaxoSmithKline.
For investors looking for exposure to pharmaceuticals, PowerShares Dynamic Pharmaceuticals (PJP) is a great choice. The ETF has a low expense ratio of 0.63%, making it one of the most cost-effective options out there. Plus, its impressive performance over the last quarter makes it an attractive option for investors looking to capitalize on the growing healthcare sector.
9) Health Care Select Sector SPDR Fund (XLV)
The Health Care Select Sector SPDR Fund (XLV) is one of the top-performing healthcare ETFs in Q4 of this year. This exchange-traded fund provides investors with a diversified portfolio of healthcare stocks that span the entire sector. The ETF tracks the performance of the Health Care Select Sector Index, which comprises companies from the Pharmaceuticals, Health Care Equipment & Supplies, and Health Care Providers & Services industries.
XLV has consistently outperformed its peers in 2020, with a year-to-date return of 21%. Its most recent gains have been driven by a strong performance from pharmaceutical stocks like Pfizer and Merck, as well as healthcare providers and services companies such as UnitedHealth Group and Humana.
The fund has also seen strong inflows over the past year, making it a good choice for investors looking to gain exposure to the healthcare sector. XLV is highly liquid, trading an average of more than 7 million shares per day. The fund has an expense ratio of 0.13% and pays a dividend yield of 1.8%.
10) iShares S&P Global Healthcare Index Fund (IXJ)
iShares S&P Global Healthcare Index Fund (IXJ) is one of the best-performing healthcare ETFs for Q4 of 2022. This fund has a net asset value of $3.3 billion and offers exposure to a variety of healthcare stocks from across the globe. The fund is composed of 140 different healthcare companies that are located in countries all around the world.
The IXJ ETF offers a great combination of both growth and income potential as it provides a diversified portfolio of some of the largest healthcare companies in the world. Investors have access to a broad range of stocks in the healthcare sector including pharmaceutical, biotechnology, medical device, and healthcare services companies.
The performance of the IXJ ETF has been impressive this quarter. Since the beginning of October, the ETF has gained over 12%. This compares favorably to the S&P 500 which has only risen 6% during the same time period. The year-to-date returns of the fund stand at +23%, and its one-year return stands at +28%.