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Retail ETF Gets a Boost From Teen Power

By Don Dion

About this article:
While parents may scratch their heads, there's no recession in the world of teen shopping. Thanks to better-than-expected same-store results, teen outfitters such as Abercrombie & Fitch, Aeropostale and Urban Outfitters are leading the retail pack today - boosting the SPDR S&P Retail ETF higher. Last month, I explained why XRT was a better pick than the better-known Retail HOLDRs to play the strength in the retail sector. While RTH's top-heavy portfolio concentrates the fund's assets into a handful of big-name retailers, XRT's weighting methodology offers exposure to a wide range of retailers, including ANF, ARO and URBN. XRT's largest holding, Target, makes up just 1.65% of the underlying basket. RTH's top holding, Wal-Mart, makes up nearly 20% of the fund's underlying holdings. So if you're looking to play the strength of retail as a group, you're certainly better off with a fund that gives you...

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