Newest Select Sector SPDR ETFs Provide Same Sector Exposure With Enhanced Income Potential
State Street Investment Management, the asset management business of State Street Corporation (NYSE: STT), announced today the launch of eleven Select Sector SPDR® Premium Income Funds. Designed to provide investors with the ability to harness sector trends and opportunities while enhancing their potential for current income and helping to reduce the impact of volatility and drawdowns, the Select Sector SPDR Premium Income Funds are the first suite of ETFs to employ a sector-based premium income investment strategy.
“Our sector and industry offerings have served as powerful portfolio building blocks for countless investors for nearly three decades,” said Anna Paglia, Chief Business Officer at State Street Investment Management. “Now with the launch of our Select Sector SPDR Premium Income Suite, investors can implement sector-based strategies that have the potential to provide enhanced income.”
Each new fund seeks to achieve its investment objective by investing in shares of the corresponding Select Sector SPDR Fund (as listed below), and by selling call options on that fund to generate potential additional income. These offerings include:
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The Communication Services Select Sector SPDR Premium Income Fund (XLCI)
- Corresponding Select Sector SPDR Fund: The Communication Services Select Sector SPDR Fund (XLC)
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The Consumer Discretionary Select Sector SPDR Premium Income Fund (XLYI)
- Corresponding Select Sector SPDR Fund: The Consumer Discretionary Select Sector SPDR Fund (XLY)
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The Consumer Staples Select Sector SPDR Premium Income Fund (XLSI)
- Corresponding Select Sector SPDR Fund: The Consumer Staples Select Sector SPDR Fund (XLP)
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The Energy Select Sector SPDR Premium Income Fund (XLEI)
- Corresponding Select Sector SPDR Fund: The Energy Select Sector SPDR Fund (XLE)
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The Financial Select Sector SPDR Premium Income Fund (XLFI)
- Corresponding Select Sector SPDR Fund: The Financial Select Sector SPDR Fund (XLF)
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The Health Care Select Sector SPDR Premium Income Fund (XLVI)
- Corresponding Select Sector SPDR Fund: The Health Care Select Sector SPDR Fund (XLV)
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The Industrial Select Sector SPDR Premium Income Fund (XLII)
- Corresponding Select Sector SPDR Fund: The Industrial Select Sector SPDR Fund (XLI)
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The Materials Select Sector SPDR Premium Income Fund (XLBI)
- Corresponding Select Sector SPDR Fund: The Materials Select Sector SPDR Fund (XLB)
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The Real Estate Select Sector SPDR Premium Income Fund (XLRI)
- Corresponding Select Sector SPDR Fund: The Real Estate Select Sector SPDR Fund (XLRE)
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The Technology Select Sector SPDR Premium Income Fund (XLKI)
- Corresponding Select Sector SPDR Fund: The Technology Select Sector SPDR Premium Income Fund (XLK)
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The Utilities Select Sector SPDR Premium Income Fund (XLUI)
- Corresponding Select Sector SPDR Fund: The Utilities Select Sector SPDR Fund (XLU)
“We’re thrilled to be expanding on our unmatched leadership in sector investing with the launch of the Select Sector SPDR Premium Income suite. The ability to implement a specific sector tilt while incorporating the potential for enhanced income generation in your portfolio with a single trade is a simple and powerful combination for income-seeking investors,” added Paglia.
State Street has been a pioneer in sector ETFs since launching the world’s first suite of sector ETFs in 1998. With over $325 billion in assets under management, State Street’s global sector ETFs are among the most widely used tools for sector investing worldwide.
For more information on State Street’s sector offerings, visit www.ssga.com/us/en/intermediary/capabilities/equities/sector-investing.
About State Street Investment Management
At State Street Investment Management, we have been helping to deliver better outcomes to institutions, financial intermediaries, and investors for nearly half a century. Starting with our early innovations in indexing and ETFs, our rigorous approach continues to be driven by market-tested expertise and a relentless commitment to those we serve. With over $5 trillion in assets managed*, clients in over 60 countries, and a global network of strategic partners, we use our scale to create a comprehensive and cost-effective suite of investment solutions that help investors get wherever they want to go.
*This figure is presented as of June 30, 2025 and includes ETF AUM of $1,689.83 billion USD of which approximately $116.05 billion USD in gold assets with respect to SPDR products for which State Street Global Advisors Funds Distributors, LLC (SSGA FD) acts solely as the marketing agent. SSGA FD and State Street Investment Management are affiliated. Please note all AUM is unaudited.
Important Risk Information
Investing involves risk including the risk loss of principal.
The whole or any part of this work may not be reproduced, copied or transmitted or any of its contents disclosed to third parties without SSGA’s express written consent.
All information is from SSGA unless otherwise noted and has been obtained from sources believed to be reliable, but its accuracy is not guaranteed. There is no representation or warranty as to the current accuracy, reliability or completeness of, nor liability for, decisions based on such information and it should not be relied on as such.
The information provided does not constitute investment advice and it should not be relied on as such. It should not be considered a solicitation to buy or an offer to sell a security. It does not take into account any investor's particular investment objectives, strategies, tax status or investment horizon. You should consult your tax and financial advisor.
ETFs trade like stocks, are subject to investment risk, fluctuate in market value and may trade at prices above or below the ETFs net asset value. Brokerage commissions and ETF expenses will reduce returns.
While the shares of ETFs are tradable on secondary markets, they may not readily trade in all market conditions and may trade at significant discounts in periods of market stress.
Market risk: The Fund's investments are subject to changes in general economic conditions, general market fluctuations and the risks inherent in investing in markets. Investment markets can be volatile and prices of investments can change substantially due to various factors including, but not limited to, economic growth or recession, changes in interest rates, inflation, changes in the actual or perceived creditworthiness of issuers, and general market liquidity.
Equity securities may fluctuate in value and can decline significantly in response to the activities of individual companies and general market and economic conditions.
The Fund is subject to substantially the same risks as those associated with the direct ownership of the securities represented by an underlying ETF in which it invests.
Non-diversified funds that focus on a relatively small number of securities tend to be more volatile than diversified funds and the market as a whole.
The Fund is actively managed. The Adviser’s judgments about the attractiveness, relative value, or potential appreciation of a particular sector, security, commodity or investment strategy may prove to be incorrect, and may cause the Fund to incur losses. There can be no assurance that the Adviser’s investment techniques and decisions will produce the desired results.
The Fund's use of call options involves speculation and can lead to losses because of adverse movements in the price or value of the underlying stock, index, or other asset, which may be magnified by certain features of the options. The Fund's successful use of call options depends on the ability of the Adviser to forecast market movements correctly. If the Fund were to write (sell) a call option on an index or security based on the expectation that the price of an index or security would fall, but the price were to rise instead, the Fund could be required to sell the underlying asset upon exercise at a price below the current market price. If the Fund is unable to roll or close out the option before it is exercised, the Fund may be required to sell the underlying asset, which may result in increased transaction costs, underinvestment, and the realization of capital gains. When selling a call option, the Fund will receive a premium; however, this premium may not be enough to offset a loss incurred by the Fund if the price of the underlying asset is above the strike price by an amount equal to or greater than the premium. The Fund utilizes FLEX Options guaranteed for settlement by the Options Clearing Corporation (“OCC”). Although unlikely, it is possible the OCC is unable to meet its settlement obligations, which could result in substantial loss for the Fund. FLEX Options may be less liquid than more traditional exchange-traded option contracts.
This communication is not intended to promote or recommend the use of options or options trading strategies and should not be relied upon as such.
Returns on investments in stocks of large U.S. companies could trail the returns on investments in stocks of smaller and mid-sized companies.
Intellectual Property Information: The S&P 500® Index is a product of S&P Dow Jones Indices LLC or its affiliates (“S&P DJI”) and have been licensed for use by State Street Global Advisors. S&P®, SPDR®, S&P 500®,US 500 and the 500 are trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”) and has been licensed for use by S&P Dow Jones Indices; and these trademarks have been licensed for use by S&P DJI and sublicensed for certain purposes by State Street Global Advisors. The fund is not sponsored, endorsed, sold or promoted by S&P DJI, Dow Jones, S&P, their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of these indices.
Distributor: State Street Global Advisors Funds Distributors, LLC, member FINRA, SIPC, an indirect wholly owned subsidiary of State Street Corporation. References to State Street may include State Street Corporation and its affiliates. Certain State Street affiliates provide services and receive fees from the SPDR ETFs.
Before investing, consider the funds’ investment objectives, risks, charges and expenses. To obtain a prospectus or summary prospectus which contains this and other information, call 1-866-787-2257 or visit ssga.com. Read it carefully.
State Street Global Advisors (SSGA) is now State Street Investment Management. Please go to statestreet.com/investment-management for more information.
© 2025 State Street Corporation. All Rights Reserved.
State Street Global Advisors Funds Distributors, LLC, One Iron Street, Boston, MA 02210
Not FDIC Insured - No Bank Guarantee - May Lose Value
8198138.1.1.AM.RTL
Exp. Date: 07/31/2026
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Contacts
Michael Kingsley
mkingsley@statestreet.com
914-522-9471