Food Industry ETF


DEFINITION of 'Food Industry ETF'

An exchange-traded fund that invests in food and beverage companies, with the objective of matching the investment performance of an underlying index. While there are very few ETFs that invest only in this sector, food and beverage companies account for a significant proportion of the holdings of consumer staples ETFs, which far outnumber food ETFs.


The sector encompasses companies that manufacture and distribute a wide range of food and beverages, from cereal and coffee to doughnuts and pizza, and also includes the giant U.S. fast-food chains that have a global presence.

As a consumer staple, the food and beverage sector is relatively immune to economic cycles. A food and beverage ETF would typically include companies with some of the best-known consumer brands.

  1. Exchange-Traded Fund (ETF)

    A security that tracks an index, a commodity or a basket of assets ...
  2. Pharmaceutical Industry ETF

    A sector-following fund that invests in developers and manufacturers ...
  3. Consumer Discretionary

    A sector of the economy that consists of businesses that sell ...
  4. Consumer Staples

    Essential products such as food, beverages, tobacco and household ...
  5. Sector ETF

    A class of exchange-traded fund that invests in the stocks and ...
  6. Consumer Packaged Goods - CPG

    A type of good that is consumed every day by the average consumer. ...
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