SPY vs XLI
State Street SPDR S&P 500 ETF Trust vs State Street Industrial Select Sector SPDR ETF
Which is better, SPY or XLI?
Large Cap Blend against Large Cap Value.
XLI has a lower expense ratio. SPY led over 1Y, 3Y and 5Y, XLI over the full window. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 39.6%.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | SPY | XLI |
|---|---|---|
| Expense Ratio | 0.09% | 0.08%Best |
| AUM | $804.7B | $31.7B |
| Dividend Yield | 0.98% | 1.18% |
| Holdings | 505 | 84 |
| YTD Return | +11.97%Best | +8.13% |
| 1Y Return | +16.40%Best | +13.03% |
| 3Y Return (annualized) | +21.10%Best | +19.12% |
| 5Y Return (annualized) | +12.88%Best | +12.66% |
| Volatility (annualized) | 15.1%Best | 18.7% |
| Max Drawdown | -56.5%Best | -63.3% |
| $10,000 over 5 years | $18,327Best | $18,149 |
| Top 10 Weight | 37.8%Best | 39.6% |
| Fund Family | State Street Investment Management | SPDR State Street Global Advisors |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | Jan 22, 1993 | Dec 16, 1998 |
Volatility and max drawdown are measured over the window both funds cover: Dec 22, 1998 to Sep 14, 2026 (27.7 years).
SPY vs XLI growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 27.7 years both funds cover.
SPY vs XLI Performance
State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management and State Street Industrial Select Sector SPDR ETF (XLI) is an ETF from SPDR State Street Global Advisors. Over the past year SPY returned +16.40% while XLI returned +13.03%. Year to date, SPY is up 11.97% versus a gain of 8.13% for XLI.
Over three years, SPY compounded at +21.10% per year against +19.12% for XLI; over five years the annualized figures are +12.88% and +12.66% respectively. Across the full 28-year window we track, XLI has the edge at +7.75% annualized vs +7.15%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
XLI has been the more volatile fund, with annualized monthly volatility of 18.7% compared with 15.1% for SPY. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -56.5% for SPY and -63.3% for XLI. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.88. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SPY charges 0.09% per year while XLI charges 0.08%. On a $10,000 position that is $9 vs $8 annually, a gap of $1 per year that compounds over a long holding period. On income, SPY currently yields 0.98% against 1.18% for XLI.
Holdings Overlap
8.3% of SPY's money is in holdings XLI also owns. 99.9% of XLI's money is in holdings SPY also owns.
Most of XLI is already inside SPY. Owning both mostly buys the same companies twice.
83 positions in common, counted across the 504 positions we hold weights for in SPY and 84 in XLI, against full books of 505 and 84.
What only one of them owns
Measured across the 504 and 84 positions we hold weights for.
SPY holds 414 positions XLI does not, 91.1% of the fund.
Largest: NVDA 8.01%, AAPL 7.26%, MSFT 5.66%, AMZN 3.79%, GOOGL 2.99%
Top Shared Holdings
| Stock | Weight in SPY | Weight in XLI | Difference |
|---|---|---|---|
| CATCaterpillar, Inc. | 0.55% | 6.61% | 6.06% |
| GEGeneral Electric Co. | 0.53% | 6.37% | 5.84% |
| RTXRaytheon Co. | 0.42% | 5.09% | 4.67% |
| GEVGE Vernova Inc. CDR (CAD Hedged) | 0.37% | 4.45% | 4.08% |
| UNPUnion Pacific Corp | 0.26% | 3.18% | 2.92% |
| DEDeere & Co Sedol 2261203 | 0.26% | 3.13% | 2.87% |
| BABoeing Co | 0.25% | 2.99% | 2.74% |
| UBERUber Technologies Inc | 0.23% | 2.82% | 2.59% |
| ETNEaton Corp Plc | 0.23% | 2.80% | 2.57% |
| PHParker-Hannifin Corp. | 0.18% | 2.21% | 2.03% |
99.9% of XLI is already inside SPY.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, SPY or XLI?
SPY has an expense ratio of 0.09% while XLI charges 0.08%. XLI is the cheaper option, by $1 a year on a $10,000 investment.
Which performed better, SPY or XLI?
Over the past year SPY returned +16.40% vs +13.03% for XLI, so SPY leads on 1-year performance. Over the longest common window we track (28 years), SPY annualized +7.15% vs +7.75% for XLI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SPY or XLI?
XLI has been the more volatile fund at 18.7% annualized versus 15.1% for SPY. Worst drawdown: SPY -56.5% vs XLI -63.3%.
Should I hold both SPY and XLI?
SPY and XLI have a monthly-return correlation of 0.88, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between SPY and XLI?
99.9% of XLI's money is in holdings SPY also owns. 99.9% of XLI's is in holdings SPY also owns. They hold 83 positions in common, counted across the 504 positions we hold weights for in SPY and 84 in XLI.
Which pays a higher dividend, SPY or XLI?
SPY yields 0.98% while XLI yields 1.18%, so XLI currently pays the higher dividend yield.
Is XLI better than SPY?
XLI has a lower expense ratio. SPY led over 1Y, 3Y and 5Y, XLI over the full window. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 39.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.