Biotechnology and Electronics Outperform Other Sectors in XLV
Biotechnology and electronics subgroups outperform
The Health Care Select Sector SPDR ETF (XLV) mainly holds mid-caps and large-caps in its portfolio. But it also provides good exposure to various sectors of the biotech industry. The fund invests in biotechnology, electronics, healthcare products, healthcare services, pharmaceuticals, and software with a weight of 20.26%, 2.92%, 12.32%, 12.38%, 51.27%, and 0.73%, respectively.
From August 25–31, 2015, biotechnology and electronics outperformed other sectors with an average return of 4.29% and 4.19%, respectively.
The above chart reflects the performance of each subgroup in XLV’s portfolio.
Vertex and Biogen help biotechnology; PerkinElmer helps electronics
Vertex Pharmaceuticals (VRTX) was the top performer in the biotechnology subgroup in XLV with a return of 6.92%. The stock closed at $127.52 on August 31, 2015. It went up on good volumes and rebounded from the oversold situation.
Biogen Idec (BIIB) closed at $278.35 on August 24, 2015, due to the global sell-off. It rebounded on good trading volumes. BIIB stock returned 6.81% and moved away from the oversold position. On August 31, 2015, the stock closed at $297.30, trading above the lower Bollinger price of $282.
In the electronics subgroup, PerkinElmer (PKI) outperformed other stocks in the subgroup with a return of 5.94%. In a press release, the company said it would display and present expertise on its multi-modality imaging solutions at the World Molecular Imaging Congress’s (WMIC) annual meeting on September 2–5, 2015.
Stocks that performed better were St. Jude Medical (STJ) with a return of 6.92%, C.R. Bard (BCR) with a return of 5.19%, and Boston Scientific (BSX) with a return of 5.62%.
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