PBJ vs. FSTA: The Staples Smackdown

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Alright, look. I’ve been staring into the abyss of consumer staples ETFs for the last 72 hours, fueled by lukewarm coffee and a growing sense of existential dread. The mission? To separate the wheat from the chaff, the Coca-Cola from the… well, the other stuff. We’re talking about Fidelity MSCI Consumer Staples Index ETF (FSTA +1.42%) and the Invesco Food & Beverage ETF (PBJ +0.65%). FSTA, the slick operator, versus PBJ, the… well, let’s just say it’s got a certain vintage quality. The numbers don’t lie, folks. FSTA’s got the juice, a broader spread, and recent returns that actually suggest someone’s making money. PBJ? Concentrated. And… expensive. DAMN expensive.

Both these beasts are prowling the same territory – the American consumer, perpetually hungry and desperately seeking… stability. But their methods? Worlds apart. FSTA’s a shotgun, scattering seed across a vast field of over 100 large- and mid-cap defensive stocks. PBJ? A scalpel. Thirty carefully selected food and beverage companies, chosen by some algorithm that probably involves a Ouija board and a healthy dose of momentum. We’re diving deep, people. Prepare for turbulence.

Snapshot (Cost & Size)

Metric PBJ FSTA
Issuer Invesco Fidelity
Expense ratio 0.61% 0.08%
1-yr return (as of 2026-01-30) 1.9% 7.6%
Dividend yield 1.83% 2.34%
Beta 0.65 0.55
AUM $94.08 million $1.32 billion

Beta measures price volatility relative to the S&P 500; beta is calculated from five-year weekly returns. The one-year return represents total return over the trailing 12 months.

Let’s be blunt. FSTA is a steal. 0.08%? That’s practically giving money away. PBJ’s charging 0.61%. 0.61%! It’s highway robbery, I tell you! And the dividend yield? FSTA’s got a higher payout, which is nice for those of us who still believe in the concept of income. It’s a simple equation, people. Less out, more in. It’s almost… unsettlingly efficient.

Performance & Risk Comparison

Metric PBJ FSTA
Max drawdown (5 years) (15.84%) (16.59%)
Growth of $1,000 over 5 years $1,379 $1,524

What’s Inside

FSTA’s a broad-spectrum play. 97 stocks. Household names. The usual suspects. Costco, Walmart, Procter & Gamble. It’s the comforting predictability of a beige cardigan. 98% consumer defensive. It’s not sexy, but it’s solid. Been around for 12 years, which in ETF years is practically an eternity. Top three holdings account for over a third of assets. A little top-heavy? Maybe. But these are the titans, the behemoths. They’re not going anywhere.

PBJ, on the other hand, is a curated experience. 30 holdings. Momentum, quality, value screens. It’s like a hipster’s grocery list. Sysco, Corteva, Monster Beverage. A little more… adventurous. 89% consumer defensive, 5% basic materials, 3% industrials. It’s trying to be different. And that, my friends, is where things get interesting. Or dangerous. Possibly both.

For more guidance on ETF investing, check out the full guide at this link.

What This Means for Investors

Look, I appreciate the idea of PBJ. Tracking some of the world’s best food and beverage stocks. Sounds good on paper. But the numbers don’t lie. Since 2013, FSTA has consistently outperformed PBJ, generating 8.9% annualized total returns versus PBJ’s measly 6.6%. And a big chunk of that difference? That exorbitant 0.61% expense ratio. It’s like throwing money into a bonfire. And the dividend yield? Another half a percentage point in FSTA’s favor. It’s a landslide, people. A ROUT.

Considering both these ETFs are relatively tame – below-market betas – that alpha really sets FSTA apart. Now, PBJ does have a lower P/E ratio (18 versus FSTA’s 25). But I’m not buying it. FSTA holds higher-growth stocks that deserve a loftier valuation. You get what you pay for, people. ALWAYS.

And let’s be real. 45% of FSTA’s portfolio is allocated to Walmart, Costco, Procter & Gamble, and Coca-Cola. That’s a hefty concentration. But these aren’t just stocks. They’re institutions. They’re the bedrock of the American consumer economy. The risk isn’t as great as it seems. It’s… almost comforting. Like having a bunker stocked with Twinkies and bottled water.

Ultimately, I’d only consider buying FSTA. It’s the logical choice. The sensible choice. The profitable choice. PBJ? I’d rather pick and choose my favorite food and beverage stocks individually. Or, you know, just buy a case of whiskey and wait for the apocalypse. Either way.

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2026-02-03 02:34