Healthcare-related ETFs May Benefit Investors

ETF Trends reported that investors looking to expand their portfolios might look to healthcare-related exchange-traded funds, which can “benefit from an aging demographic, expanding services and innovative products.”

As quoted in the market news:

The healthcare sector has been among the best performing sectors so far this year. Year-to-date, the Health Care Select Sector SPDR (NYSEArca: XLV) gained 17.3% andVanguard Health Care ETF (NYSEArca:VHT) rose 16.8%.

With the sweeping changes in the healthcare system and rising employment, more people will have health care coverage, and Robert Goldsborough, manager, research analyst and ETF specialist with Morningstar, argues that healthcare ETFs like XLV and VHT are cost-efficient ways to access the growth, reports Joanne Cleaver for U.S. News.

Investors, though, should refrain from trying to time the market as the traditionally defensive sector is less likely to experience a major correction. ‘This is not a bargain-hunting situation,’ Goldsborough added.

Click here to read the full ETF Trends report.