The U.S. healthcare industry is monstrous. In 2020, Americans collectively spent a combined $4.1 trillion on healthcare according to information from Insider Intelligence<\/a>. With 330 million U.S. citizens, this comes out to approximately $12,400 per person. Additionally, thanks to an exponentially growing population, this market is likely not slowing down anytime soon. Analysts expect that the U.S. healthcare industry could grow to as much as $6.2 trillion by 2028. This means that identifying the best healthcare ETFs to buy should be a big focus for investors over the coming years.<\/p>\n
An exchange-traded fund (ETF)<\/a> is a fund that invests in a large portfolio of securities. ETFs are designed to track a particular index, sector, commodity, or asset. The most common example of an ETF is the SPDR S&P 500 ETF<\/a>. Furthermore, this fund tracks all the companies in the S&P 500. The ETFs listed below all track companies that operate in the healthcare industry.<\/p>\n
Assets Under Management<\/a>: $38.6 billion<\/strong><\/p>\n
The Health Care Select Sector SPDR Fund<\/a> is by far the biggest healthcare ETF. In fact, it\u2019s over twice as large as the next biggest fund. This, by itself, qualifies it as one of the best healthcare ETFs to buy. The Health Care Select Sector SPDR Fund seeks to give investors exposure to the overall healthcare industry. It does this by investing in companies that operate in pharmaceuticals, health care equipment, biotechnology and healthcare providers. The bulk (28.4%) of the fund\u2019s holdings are companies that operate in the pharmaceutical space.<\/p>\n