The Technology Select Sector SPDR Fund etf (XLK) - Top notch inexpensive passive technology sector etf

When it comes to *pure technology* sector based passive index fund, I believe Technology Select Sector SPDR Fund etf (XLK) is pretty solid long term choice. This inexpensive (expense ratio 0.09%) passive etf tracks all the technology sector companies within S&P 500. 

It caps weightage of top mega caps to max 50% of it's portfolio to *avoid overconcentration* to just few momentum mega cap technology stocks. Also, no single stock can weigh more than 23%. 

Above *checks and balances* in capping individual *high flying* stock weightage was one of the main reasons how this fund outperformed it's index during *2022 technology crash*. It's losses were 10-15% less than it's index that year. It faired way better than it's index in dot com bust years too. 

As always, consider limiting your investment into aggressive asset classes, such as technology, to max 20% of your stock equity holdings.

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