2026 Themes

Asset Allocation

Position	Category/Sector	Target Weight
XLB Materials Select Sector SPDR ETF	Materials	11.11%
XLF State Street Financial Select Sector SPDR ETF	Financials Equities	11.11%
XLI Industrial Select Sector SPDR Fund	Industrials Equities	11.11%
XAD.TO iShares U.S. Aerospace & Defense Index ETF	Aerospace & Defense	11.11%
XME SPDR S&P Metals & Mining ETF	Materials	11.11%
XMA.TO iShares S&P/TSX Capped Materials Index ETF	Materials	11.11%
XBM.TO iShares S&P/TSX Global Base Metals Index ETF	Energy Equities	11.11%
XLE State Street Energy Select Sector SPDR ETF	Energy Equities	11.11%
XLU State Street Utilities Select Sector SPDR ETF	Utilities Equities	11.11%

Benchmark Against

Benchmark

S&P 500 Index

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Performance

Performance Chart

The chart shows the growth of an initial investment of $10,000 in 2026 Themes, comparing it to the performance of the S&P 500 index or another benchmark. All prices have been adjusted for splits and dividends. The portfolio is rebalanced Every 3 months.

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Returns By Period

Position	1D	1M	YTD	6M	1Y	3Y*	5Y*	10Y*
Benchmark S&P 500 Index	0.50%	0.31%	8.56%	8.85%	24.33%	19.37%	11.84%	13.61%
Portfolio 2026 Themes	1.35%	2.28%	13.65%	15.32%	40.85%	—	—	—
Portfolio components:
XAD.TO iShares U.S. Aerospace & Defense Index ETF	-0.65%	7.53%	8.97%	12.08%	30.79%	—	—	—
XBM.TO iShares S&P/TSX Global Base Metals Index ETF	2.55%	-1.15%	28.49%	36.69%	99.27%	24.72%	14.48%	18.63%
XLB Materials Select Sector SPDR ETF	1.87%	0.99%	15.57%	16.68%	21.77%	10.88%	6.01%	10.54%
XLE State Street Energy Select Sector SPDR ETF	0.75%	-0.90%	29.56%	28.37%	34.84%	16.18%	20.12%	9.91%
XLF State Street Financial Select Sector SPDR ETF	1.37%	4.00%	-2.11%	-2.09%	8.41%	18.86%	9.15%	13.33%
XLI Industrial Select Sector SPDR Fund	0.59%	0.96%	13.90%	13.10%	25.17%	20.87%	12.93%	14.15%
XLU State Street Utilities Select Sector SPDR ETF	1.09%	-0.82%	5.04%	5.48%	12.50%	13.79%	9.41%	9.20%
XMA.TO iShares S&P/TSX Capped Materials Index ETF	2.84%	-6.22%	-0.05%	1.92%	49.51%	31.32%	15.40%	12.52%
XME SPDR S&P Metals & Mining ETF	1.77%	-0.44%	16.32%	18.13%	85.07%	35.23%	21.78%	19.60%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Monthly Returns

Based on dividend-adjusted daily data since Sep 19, 2023, 2026 Themes's average daily return is +0.09%, while the average monthly return is +1.89%. At this rate, an investment would double in approximately 3.1 years.

Historically, 65% of months were positive and 35% were negative. The best month was Jan 2026 with a return of +8.7%, while the worst month was Dec 2024 at -9.2%. The longest winning streak lasted 5 consecutive months, and the longest losing streak was 2 months.

On a daily basis, 2026 Themes closed higher 57% of trading days. The best single day was Apr 9, 2025 with a return of +8.0%, while the worst single day was Apr 4, 2025 at -7.0%.

	Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec	Total
2026	8.70%	7.48%	-7.06%	3.37%	2.25%	-0.97%							13.65%
2025	4.65%	0.14%	-0.18%	-1.72%	5.57%	5.27%	2.68%	5.41%	6.23%	-0.07%	2.24%	3.44%	38.83%
2024	-2.86%	2.14%	7.95%	-0.41%	4.54%	-3.70%	4.93%	1.08%	3.57%	-1.26%	4.91%	-9.24%	10.89%
2023									-3.83%	-4.28%	7.25%	5.93%	4.59%

Benchmark Metrics

2026 Themes has an annualized alpha of 6.49%, beta of 0.83, and R2 of 0.57 versus S&P 500 Index. Calculated based on daily prices since September 19, 2023.

This portfolio participates in less of S&P 500 Index's moves in both directions, but captures a larger share of gains (94.48%) than losses (67.08%) - typical of diversified or defensive assets.
This portfolio generated an annualized alpha of 6.49% versus S&P 500 Index - delivering returns beyond what market exposure alone would predict.

Alpha: 6.49%

Beta: 0.83

R²: 0.57

Upside Capture: 94.48%

Downside Capture: 67.08%

See how alpha, beta & R² have trended over time →

Expense Ratio

2026 Themes has an expense ratio of 0.27%, which is considered low. Below, you can find the expense ratios of the portfolio's funds side by side and easily compare their relative costs.

XMA.TO

iShares S&P/TSX Capped Materials Index ETF

XBM.TO

iShares S&P/TSX Global Base Metals Index ETF

XAD.TO

iShares U.S. Aerospace & Defense Index ETF

XME

SPDR S&P Metals & Mining ETF

XLB

Materials Select Sector SPDR ETF

XLF

State Street Financial Select Sector SPDR ETF

XLI

Industrial Select Sector SPDR Fund

XLE

State Street Energy Select Sector SPDR ETF

XLU

State Street Utilities Select Sector SPDR ETF

Return for Risk

Risk / Return Rank

2026 Themes ranks 69 for risk / return — better than 69% of Portfolios on our site. You're getting solid returns for the risk taken. A good sign, especially for investors who want growth without excessive volatility.

Overall Rank

Sharpe Ratio Rank

Sortino Ratio Rank

Omega Ratio Rank

Calmar Ratio Rank

Martin Ratio Rank

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

Return / Risk — by metrics

The table below presents risk-adjusted performance metrics for 2026 Themes and compares them with S&P 500 Index.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	Portfolio	Benchmark	Difference
Sharpe ratioReturn per unit of total volatility	2.36	1.86	+0.50
Sortino ratioReturn per unit of downside risk	3.05	2.53	+0.52
Omega ratioGain probability vs. loss probability	1.42	1.34	+0.08
Calmar ratioReturn relative to maximum drawdown	3.29	2.53	+0.75
Martin ratioReturn relative to average drawdown	11.71	11.37	+0.34

How much return does each position deliver for the risk it carries? Higher values mean better reward for the risk taken.

Position	Risk / Return Rank	Sharpe ratio	Sortino ratio	Omega ratio	Calmar ratio	Martin ratio
XAD.TO iShares U.S. Aerospace & Defense Index ETF	44	1.48	2.21	1.25	2.02	5.32
XBM.TO iShares S&P/TSX Global Base Metals Index ETF	81	2.61	2.95	1.40	4.11	14.92
XLB Materials Select Sector SPDR ETF	35	1.17	1.73	1.20	1.65	5.05
XLE State Street Energy Select Sector SPDR ETF	58	1.82	2.40	1.30	3.10	8.63
XLF State Street Financial Select Sector SPDR ETF	15	0.42	0.67	1.08	0.42	1.08
XLI Industrial Select Sector SPDR Fund	47	1.50	2.17	1.26	1.98	7.82
XLU State Street Utilities Select Sector SPDR ETF	25	0.81	1.18	1.15	1.30	2.80
XMA.TO iShares S&P/TSX Capped Materials Index ETF	39	1.35	1.74	1.25	1.76	4.94
XME SPDR S&P Metals & Mining ETF	73	2.41	2.86	1.37	3.84	9.58

Sharpe Ratio

The Sharpe ratio helps investors understand how much return they're getting for the level of risk taken. A higher Sharpe ratio indicates better risk-adjusted performance, meaning more reward for each unit of risk. Learn how to interpret the Sharpe ratio.

The current 2026 Themes Sharpe ratio is 2.36 as of Jun 13, 2026 (the value is recalculated daily), calculated over the past 12 months.

Compared to the broad market, where average Sharpe ratios range from 1.53 to 2.41, this portfolio's current Sharpe ratio falls between the 25th and 75th percentiles. This indicates that its risk-adjusted performance is in line with the majority of portfolios, suggesting a balanced approach to risk and return—likely suitable for a wide range of investors.

The chart below shows the rolling Sharpe ratio of 2026 Themes compared to the selected benchmark. This view highlights how the investment's risk-adjusted performance has changed over time.

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Dividends

Dividend yield

2026 Themes provided a 1.25% dividend yield over the last twelve months.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
Portfolio	1.25%	1.39%	1.59%	1.87%	2.24%	1.79%	1.94%	2.47%	2.19%	1.62%	3.89%	2.62%
Portfolio components:
XAD.TO iShares U.S. Aerospace & Defense Index ETF	0.32%	0.35%	0.44%	0.24%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
XBM.TO iShares S&P/TSX Global Base Metals Index ETF	0.65%	0.86%	1.25%	2.09%	4.78%	3.05%	1.81%	3.73%	3.38%	1.65%	2.41%	5.75%
XLB Materials Select Sector SPDR ETF	1.68%	1.92%	1.92%	2.00%	2.26%	1.62%	1.72%	1.98%	2.20%	1.66%	1.95%	2.24%
XLE State Street Energy Select Sector SPDR ETF	2.59%	3.28%	3.36%	3.55%	3.68%	4.21%	5.62%	6.72%	3.54%	3.03%	2.26%	3.39%
XLF State Street Financial Select Sector SPDR ETF	1.49%	1.31%	1.42%	1.71%	2.04%	1.63%	2.03%	1.87%	2.08%	1.48%	21.10%	1.95%
XLI Industrial Select Sector SPDR Fund	1.16%	1.29%	1.44%	1.63%	1.63%	1.25%	1.55%	1.94%	2.15%	1.77%	2.07%	2.15%
XLU State Street Utilities Select Sector SPDR ETF	2.67%	2.71%	2.96%	3.39%	2.92%	2.79%	3.14%	2.95%	3.33%	3.33%	3.41%	3.67%
XMA.TO iShares S&P/TSX Capped Materials Index ETF	0.39%	0.41%	0.83%	1.26%	1.24%	0.87%	0.63%	0.64%	0.75%	0.47%	0.82%	1.87%
XME SPDR S&P Metals & Mining ETF	0.32%	0.38%	0.65%	1.00%	1.64%	0.70%	0.99%	2.43%	2.23%	1.15%	1.02%	2.61%

Drawdowns

Drawdowns Chart

The Drawdowns chart displays portfolio losses from any high point along the way. Drawdowns are calculated considering price movements and all distributions paid, if any.

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Worst Drawdowns

The table below displays the maximum drawdowns of the 2026 Themes. A maximum drawdown is a measure of risk, indicating the largest reduction in portfolio value due to a series of losing trades.

The maximum drawdown for the 2026 Themes was 17.31%, occurring on Apr 8, 2025. Recovery took 39 trading sessions.

The current 2026 Themes drawdown is 3.50%.

Related event	Drawdown	Fall	Recovery	Underwater
2025 selloff2025	-17.31%Apr 2025	4mo 7d	1mo 26d	6mo 3dDec 2024 - Jun 2025
2026 correction2026	-12.23%Mar 2026	17d	—	3mo 14dMar 2026 - now
2023 pullback2023	-7.96%Oct 2023	1mo 11d	1mo 2d	2mo 13dSep 2023 - Dec 2023
2024 pullback2024	-7.30%Aug 2024	2mo 17d	23d	3mo 10dMay 2024 - Aug 2024
2025 pullback2025	-6.81%Nov 2025	1mo 5d	21d	1mo 26dOct 2025 - Dec 2025

Volatility

Volatility Chart

The chart below shows the rolling one-month volatility.

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Diversification

Diversification Metrics

Number of Effective Assets

The portfolio contains 9 assets, with an effective number of assets of 9.00, reflecting the diversification based on asset allocation. Your capital is spread almost evenly across your holdings, indicating a well-balanced allocation. Note that true diversification also depends on the correlations between assets — check the diversification ratio below.

Diversification Ratio

	1Y	All Time
Diversification Ratio	1.44	1.36

The portfolio has a diversification ratio of 1.36, in line with the typical range across portfolios. There's room to improve by adding less correlated assets.

2026 Themes correlation to the S&P 500 Index

2026 Themes has a 0.64 correlation to S&P 500 Index over the trailing 12 months. This section compares each holding's correlation to the benchmark and to the portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.64
Correlation (All Time) Calculated using the full available price history since Sep 19, 2023	0.66

Benchmark Correlations

Correlation vs. S&P 500 Index. XLI has the highest benchmark correlation at 0.76, while XLE has the lowest at 0.17.

0.17

0.28

0.32

0.39

0.51

0.57

0.62

0.64

0.76

Portfolio Correlations

Correlation vs. 2026 Themes. XME has the highest portfolio correlation at 0.86, while XLE has the lowest at 0.43.

0.43

0.48

0.49

0.59

0.71

0.75

0.81

0.81

0.86

Asset Correlations Table

The table below displays the correlation coefficients between the individual components of the portfolio, the entire portfolio, and the chosen benchmark.

	XLE	XLU	XAD.TO	XMA.TO	XLF	XBM.TO	XME	XLI	XLB
XLE	1.00	0.23	0.09	0.16	0.27	0.24	0.30	0.29	0.32
XLU	0.23	1.00	0.19	0.27	0.36	0.22	0.27	0.41	0.41
XAD.TO	0.09	0.19	1.00	0.24	0.38	0.25	0.30	0.55	0.31
XMA.TO	0.16	0.27	0.24	1.00	0.19	0.69	0.62	0.30	0.47
XLF	0.27	0.36	0.38	0.19	1.00	0.32	0.41	0.70	0.60
XBM.TO	0.24	0.22	0.25	0.69	0.32	1.00	0.77	0.46	0.60
XME	0.30	0.27	0.30	0.62	0.41	0.77	1.00	0.59	0.68
XLI	0.29	0.41	0.55	0.30	0.70	0.46	0.59	1.00	0.75
XLB	0.32	0.41	0.31	0.47	0.60	0.60	0.68	0.75	1.00

The correlation results are calculated based on daily price changes starting from Sep 19, 2023

Diversification Analysis

Find what 2026 Themes is missing

See which holdings overlap, where 2026 Themes is concentrated, and which low-correlation assets could fill the gaps.

Analyze Diversification