Do Sector Etfs Outperform Treasury Bills?
18 Pages Posted: 22 Aug 2022
Unlike individual stocks, more than 67% of sector ETFs have lifetime buy-and-hold returns that are higher than the T-bill rates. Thus, the majority of sector ETFs outperform T-bills. However, less than 26% of sector ETFs have lifetime buy-and-hold returns that are higher than SPY, an index ETF that is a proxy for the overall stock market. Consequently, most sector ETFs underperform the market index.
Keywords: Sector ETFs, Treasury bills, Market index, performance
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