The present invention describes compositions and methods containing water-dispersible phytosterol esters useful in the reduction of serum cholesterol when consumed as part of a heart healthy diet. The compositions and methods can be used to incorporate phytosterol esters into aqueous based dry foods and beverages that are extracted or reconstituted with hot water. The composition comprises a mixture of phytosterol esters, a surfactant and optionally an oil soluble antioxidant and needs no prior emulsification, homogenization or drying to render the phytosterol esters water dispersible in the recommended food applications.

 
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