Best Consumer ETFs (2026)

Which consumer sector fund to hold, staples or discretionary — 13 funds ranked on cost, yield, return, risk and ETFValuer's overall grade.

Updated July 29, 2026

Every figure on this page is recalculated from market data each day, so the ranking reflects current conditions rather than whenever this page was written. Educational content — not financial advice.

Top Picks Right Now

#1
XLP
State Street Consumer Staples Select Sector SPDR ETF
C 60.1/100
  • cheapest in the group at 0.08%
#2
VDC
Vanguard Consumer Staples Index Fund ETF Shares
C 59.8/100
  • scores 59.8 on the overall model (grade C)
#3
FSTA
Fidelity MSCI Consumer Staples Index ETF
C 56.7/100
  • scores 56.7 on the overall model (grade C)

Ranked by ETFValuer's overall score. Recalculated every day from live market data — these positions change as the underlying numbers move.

At a Glance

Cheapest
XLP
0.08%
Highest yield
IYK
3.25%
Best risk-adjusted
JETS
Sharpe 0.78
Largest
XLY
$22.6B
Shallowest drawdown
KXI
-11.3%

Each superlative is measured within this group of 13 funds, not across the whole market.

All 13 Funds Ranked

FundCategoryCostYield1Y3YVolatilityMax DDSharpeAUMScoreGrade
1 XLPState Street Consumer Staples Select Sector SPDR ETFConsumer Staples0.08%2.03%+9.8%+24.9%14.1%-12.0%0.34$13.6B60.1C
2 VDCVanguard Consumer Staples Index Fund ETF SharesConsumer Staples0.09%2.13%+9.3%+27.5%13.7%-11.4%0.31$9.2B59.8C
3 FSTAFidelity MSCI Consumer Staples Index ETFConsumer Staples0.08%2.21%+9.3%+27.3%13.7%-11.4%0.31$1.4B56.7C
4 IYKiShares US Consumer Staples ETFConsumer Staples0.38%3.25%+12.9%+22.2%13.8%-11.9%0.57$1.3B55.8C
5 KXIiShares Global Consumer Staples ETFConsumer Staples0.39%2.38%+10.0%+23.2%13.1%-11.3%0.38$1.0B53.6C
6 JETSU.S. Global Jets ETFConsumer Discretionary0.60%0.70%+30.7%+54.7%32.7%-35.2%0.78$959M52.2C
7 XLYState Street Consumer Discretionary Select Sector SPDR ETFConsumer Discretionary0.08%1.06%+0.8%+36.7%19.3%-26.0%-0.22$22.6B46.0D
8 VCRVanguard Consumer Discretionary Index Fund ETF SharesConsumer Discretionary0.09%0.72%+2.8%+37.8%19.4%-27.4%-0.11$6.8B44.6D
9 XRTState Street SPDR S&P Retail ETFConsumer Discretionary0.35%0.58%+12.8%+42.0%20.9%-25.6%0.37$381M44.1D
10 FDISFidelity MSCI Consumer Discretionary Index ETFConsumer Discretionary0.08%0.72%+2.9%+38.1%19.3%-27.4%-0.11$1.7B42.5D
11 IYCiShares US Consumer Discretionary ETFConsumer Discretionary0.38%0.43%-0.8%+43.2%15.2%-21.6%-0.38$1.2B40.5D
12 XHBState Street SPDR S&P Homebuilders ETFConsumer Discretionary0.35%0.68%+3.7%+33.1%28.0%-30.5%-0.05$1.6B38.7D
13 ITBiShares U.S. Home Construction ETFConsumer Discretionary0.38%0.62%+0.5%+16.8%29.3%-33.4%-0.15$2.6B35.2D

Max DD is the deepest peak-to-trough fall over the measurement window. Sharpe ratio measures return per unit of volatility — higher is better. Every figure is recalculated daily.

What Makes a Good Fund Here

The two consumer sectors behave almost oppositely. Staples — food, household goods, tobacco — hold up in downturns because demand barely moves. Discretionary — retail, travel, autos — amplifies the economic cycle in both directions.

The ETFValuer score blends trailing return, risk-adjusted return, expense ratio, maximum drawdown, fund size and volatility, each percentile-ranked against the full tracked universe, into a single 0-100 figure graded A+ to F. It is a systematic summary of past data, not a forecast — read it alongside the individual columns rather than instead of them.

Head-to-Head Comparisons

Full metric-by-metric breakdowns for the closest calls in this group.

Frequently Asked Questions

What is the best consumer ETF?

XLP currently ranks highest of the 13 consumer funds tracked, scoring 60.1 (C) — though staples and discretionary funds serve opposite purposes and are not really substitutes for each other.

What is the difference between consumer staples and consumer discretionary?

Staples are things people buy regardless of the economy: groceries, cleaning products, tobacco. Discretionary is what they buy when they feel comfortable: restaurants, holidays, new cars. Staples are defensive; discretionary is cyclical.

Compare any of these funds directly

Side-by-side metrics, holdings overlap and return correlation for any pair.

Other Rankings