Energy focused exchange traded funds are drawing renewed attention Tuesday after comments from Exxon Mobil (XOM) CEO Darren Woods highlighted operational challenges tied to the escalating conflict involving Iran, the United States, and Israel.
Woods said the company has evacuated non-essential personnel from its Middle East operations as a precautionary measure amid rising regional tensions. He also noted that XOM has scaled back certain activities to better manage inventory levels, citing ongoing disruptions and uncertainty surrounding shipping traffic through the Strait of Hormuz, one of the world’s most critical oil transit routes.
The developments have placed Exxon Mobil in focus for investors tracking energy sector ETFs. The oil major is a widely held component across the ETF landscape and currently appears in 480 exchange traded funds. Collectively, those funds hold more than 705M shares of XOM, underscoring the company’s significant influence across energy-focused investment portfolios.
Outlined below are the 10 ETFs with the largest allocations towards XOM:
- Global X PureCap MSCI Energy ETF (GXPE), 30.25% allocation.
- Westwood Salient Enhanced Energy Income ETF (WEEI), 23.95% allocation.
- Energy Select Sector SPDR Fund (XLE), 23.65% allocation.
- Vanguard Energy ETF (VDE), 23.53% allocation.
- Strive U.S. Energy ETF (DRLL), 23.38% allocation.
- iShares U.S. Energy ETF (IYE), 23.29% allocation.
- Direxion Daily Energy Bull 2x Shares (ERX), 22.64% allocation.
- Fidelity MSCI Energy Index ETF (FENY), 21.94% allocation.
- Portfolio Building Block Integrated Oil and Gas and Exploration and Production Index ETF (PBOG), 20.15% allocation.
- iShares Global Energy ETF (IXC), 18.54% allocation.
Other energy ETFs to watch:
Energy ETFs: (AMLP), (XOP), and (OIH).