Summary
The iShares U.S. Consumer Staples ETF (IYK) is a passively managed exchange-traded fund that offers broad exposure to the Consumer Staples – Broad segment of the equity market. Launched on June 12, 2000, this fund has amassed assets over $1.51 billion and has become one of the larger ETFs attempting to match the performance of the Consumer Staples – Broad segment of the equity market.
Index Details and Performance
The fund is sponsored by BlackRock and seeks to match the performance of the Dow Jones U.S. Consumer Goods Index before fees and expenses. The Russell 1000 Consumer Staples RIC 22.5/45 Capped Index measures the performance of the consumer goods sector of the U.S. equity market.
In terms of performance, IYK has added roughly 8.98% so far this year and is up about 9.15% in the last one year (as of June 4, 2025). During this past 52-week period, the fund has traded between $63.29 and $72.42.
The ETF has a beta of 0.58 and standard deviation of 12.64% for the trailing three-year period, making it a medium risk choice in the space. With about 60 holdings, it effectively diversifies company-specific risk.
Costs and Expenses
Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is essential for investors to pay attention to an ETF’s expense ratio. Annual operating expenses for IYK are 0.40%, making it on par with most peer products in the space.
The fund has a 12-month trailing dividend yield of 2.42%. Sector exposure and top holdings will be discussed in the following sections.
Sector Exposure and Top Holdings
Even though ETFs offer diversified exposure which minimizes single stock risk, it is still essential to look into a fund’s holdings before investing. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation in the Consumer Staples sector–about 87.70% of the portfolio. Healthcare and Materials round out the top three. Looking at individual holdings, Procter & Gamble (PG) accounts for about 14.86% of total assets, followed by Coca-Cola (KO) and Philip Morris International Inc (PM).
The top 10 holdings account for about 66.63% of total assets under management.
Alternatives and Comparison
Investors might also want to consider some other ETF options in the space. Vanguard Consumer Staples ETF (VDC) tracks MSCI US Investable Market Consumer Staples 25/50 Index, and the Consumer Staples Select Sector SPDR ETF (XLP) tracks Consumer Staples Select Sector Index.
Vanguard Consumer Staples ETF has $7.67 billion in assets, and Consumer Staples Select Sector SPDR ETF has $16.46 billion. VDC has an expense ratio of 0.09%, and XLP charges 0.08%. These funds offer a similar exposure to the Consumer Staples segment but with different underlying indices.
Conclusion
In conclusion, IYK is a reasonable option for those seeking exposure to the Consumer Staples ETFs area of the market. With its broad sector exposure, low costs, and transparency, it makes an excellent vehicle for long-term investors. However, investors might also want to consider some other ETF options in the space, such as VDC or XLP, depending on their investment objectives and risk tolerance.
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