XLK vs. FTEC: Same Fee, Different Trade-Offs in Tech ETF Exposure

Overview

• XLK has about $95.6 billion in assets and a 27-year record, making it the more liquid option versus FTEC’s $16.7 billion.
• XLK holds roughly 70 stocks with Nvidia, Apple and Microsoft comprising over one third of assets, whereas FTEC spans about 294 names.
• Tracking the S&P 500 technology sector concentrates XLK in mega-caps, while FTEC’s broader U.S. tech index adds smaller firms outside the S&P 500.
• For the year through Dec. 12, 2025, XLK returned 20.7% versus 18.5% for FTEC, and its dividend yield was slightly higher at 0.5% versus 0.4%.
• Both funds carry a 0.08% expense ratio and show similar risk and exposure, with five-year betas of 1.21 for XLK and 1.24 for FTEC.