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7 Best Consumer Staples ETFs

By U.S. News & World Report

When it comes to low-risk investing strategies, consumer staples ETFs are a popular option.

Companies that manufacture or sell essential goods like packaged foods, beverages and household products tend to generate steady sales regardless of broader economic conditions. The best consumer staples stocks also tend to be adept at adjusting prices based on input costs to pass those prices on to consumers and protect the bottom line.

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Exchange-traded funds that hold dozens of leading companies offer a simple, cost-effective way to gain exposure to the sector and further reduce your risk profile. The best consumer staples ETFs are one-stop shops that carry the biggest names in one single position.

The following seven ETFs are established options, each with more than $200 million in assets under management.

ETF Expense ratio Assets under management
Consumer Staples Select Sector SPDR Fund (ticker: XLP) 0.08% $16.2 billion
Vanguard Consumer Staples ETF (VDC) 0.09% $8.4 billion
Fidelity MSCI Consumer Staples Index ETF (FSTA) 0.08% $1.5 billion
iShares U.S. Consumer Staples ETF (IYK) 0.38% $1.3 billion
iShares Global Consumer Staples ETF (KXI) 0.39% $1 billion
Invesco S&P 500 Equal Weight Consumer Staples ETF (RSPS) 0.40% $266 million
First Trust Consumer Staples AlphaDEX Fund (FXG) 0.63% $239 million

Consumer Staples Select Sector SPDR Fund (XLP)

The largest consumer staples ETF available to U.S. investors, XLP holds roughly 40 of the sector’s biggest brands. Top holdings include Walmart Inc. (WMT), Costco Wholesale Corp. (COST) and Procter & Gamble Co. (PG). With an average market capitalization of more than $130 billion across its holdings, XLP focuses squarely on the largest and most established companies in the consumer staples universe. While not a huge number of companies are in this fund, keep in mind this list covers the entirety of staples stocks in the S&P 500. The sector is just 5% of the broader index, after all.

Vanguard Consumer Staples ETF (VDC)

VDC is another respected option, offering a bit broader diversification through its portfolio of more than 100 holdings. Though wider in reach, the top holdings are very similar to the prior fund because this Vanguard ETF is weighted by market value — so trillion-dollar retailer Walmart makes up about 15% of the portfolio, followed by other familiar leaders in the sector.

Fidelity MSCI Consumer Staples Index ETF (FSTA)

FSTA looks similar to prior options, with about 90 holdings dominated by megacap companies and about two-thirds of all assets allocated to the top 10 positions. Because of these similarities, if you’re a particular fan of Fidelity funds and its brokerage, you may want to consider this ETF for the commission-free potential offered by this asset manager and its namesake funds.

iShares U.S. Consumer Staples ETF (IYK)

IYK takes a slightly more concentrated and curated approach, with about 55 companies in the fund. It eliminates stocks in the sector that are retailers and instead focuses on goods-producing companies such as Procter & Gamble Co. (PG), Coca-Cola Co. (KO) and Philip Morris International Inc. (PM). This gives a much more direct play on the staples themselves rather than storefronts. Keep in mind that it’s a bit pricier than the other funds, with a 0.38% expense ratio.

[10 Best Low-Cost Index Funds to Buy in 2026]

iShares Global Consumer Staples ETF (KXI)

For investors seeking international exposure, KXI tracks the largest consumer staples companies worldwide. About 60% of assets remain in dominant U.S. firms, but the rest of the portfolio is allocated to major multinational companies in developed markets like Switzerland’s Nestlé SA (NESN.SW) and U.K.-based Unilever PLC (UL). The fund offers a convenient way to diversify geographically across roughly 115 global consumer staples leaders.

Invesco S&P 500 Equal Weight Consumer Staples ETF (RSPS)

The list of holdings in RSPS is identical to the first fund on this list in that it only holds staples stocks in the S&P 500 index. Unlike traditional market cap-weighted funds, this fund assigns equal weight to each company. That means smaller companies receive the same allocation as giants like Walmart, with a target of about 3% across the 30 or so stocks. The fund regularly rebalances to maintain this structure, offering broad diversification across the sector. While smaller from an asset perspective and a bit more expensive, RSPS is truly the most diversified fund of the bunch.

First Trust Consumer Staples AlphaDEX Fund (FXG)

FXG is the most expensive fund listed here, but it takes a more complex approach by selecting stocks using a quantitative model rather than simple index weighting. The strategy evaluates metrics such as price momentum, sales growth and return on assets to identify promising companies. The portfolio typically holds about 40 stocks, including names like agribusiness leader Bunge Global SA (BG) and medical supplies firm McKesson Corp. (MCK) that are currently at the top of the list. The lineup is less traditional than many large-cap staples ETFs, which can mean higher volatility — but also the potential for better performance if the strategy succeeds.

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7 Best Consumer Staples ETFs originally appeared on usnews.com

Update 03/18/26: This story was published at an earlier date and has been updated with more information.

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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