Better Consumer Staples ETF: State Street's XLP vs. Fidelity's FSTA

2 hours ago 1

Robert Izquierdo, The Motley Fool

Sat, December 27, 2025 astatine 4:36 PM CST 5 min read

Both ETFs connection identical ultra-low disbursal ratios, but State Street Consumer Staples Select Sector SPDR ETF delivers a somewhat higher yield.
XLP is acold larger and much liquid than Fidelity MSCI Consumer Staples Index ETF, though some screen the aforesaid antiaircraft sector.
FSTA holds astir 3 times arsenic galore stocks, portion XLP is much concentrated successful its apical positions.
These 10 stocks could mint the adjacent question of millionaires ›

The cardinal differences betwixt Fidelity MSCI Consumer Staples Index ETF (NYSEMKT:FSTA) and State Street Consumer Staples Select Sector SPDR ETF (NYSEMKT:XLP) travel down to yield, money size, liquidity, and portfolio concentration.

Both Fidelity MSCI Consumer Staples Index ETF (FSTA) and State Street Consumer Staples Select Sector SPDR ETF (XLP) people the U.S. user staples sector, offering investors antiaircraft vulnerability to household names. While each tracks a somewhat antithetic index, their assemblage sum is astir identical, making cost, structure, and portfolio nuances the deciding factors for astir investors.

Metric

FSTA

XLP

Issuer	Fidelity	SPDR
Expense ratio	0.08%	0.08%
1-yr instrumentality (as of 2025-12-18)	-0.8%	-1.3%
Dividend yield	2.3%	2.7%
AUM	$1.3 billion	$14.9 billion

Beta measures terms volatility comparative to the S&P 500; beta is calculated from regular returns. The 1-yr instrumentality represents full instrumentality implicit the trailing 12 months.

Both funds are highly affordable, charging a rock-bottom 0.08% disbursal ratio, but XLP offers a somewhat higher output astatine 2.7% versus FSTA’s 2.3%. That output spread whitethorn entreaty to income-focused investors seeking a spot much payout from the user staples sector.

Metric

FSTA

XLP

Max drawdown (5 y)	-17.08%	-16.29%
Growth of $1,000 implicit 5 years	$1,236	$1,166

XLP is built for focus: it tracks the Consumer Staples Select Sector Index, holding 36 U.S. companies wholly wrong the user antiaircraft sector. Its apical holdings, Walmart (NASDAQ:WMT), Costco Wholesale (NASDAQ:COST), and The Procter & Gamble Co. (NYSE:PG), marque up a important information of assets, reflecting a concentrated approach. With 27 years nether its loop and $14.9 cardinal successful assets nether absorption (AUM), XLP’s standard besides translates into precocious liquidity for ample trades.

FSTA, by contrast, spreads its bets crossed 104 holdings with a astir identical assemblage tilt — user antiaircraft astatine 98%. Its largest positions are Costco Wholesale, Walmart, and The Procter & Gamble Co., but with a little concentrated allocation. FSTA’s broader portfolio whitethorn entreaty to those looking for much diversification wrong the sector.