The Best Materials ETFs

The table below compares the performance and other essential indicators like dividend yield and expense ratio of Materials ETFs.

Materials ETFs are exchange-traded funds that invest in companies involved in producing and distributing raw materials such as precious metals, chemicals, and forest products. These ETFs aim to provide exposure to the performance of the materials sector and provide diversification to an investment portfolio. The holdings in these ETFs may include mining companies, commodity producers, and manufacturers of basic materials. Investing in materials ETFs can be a way to gain exposure to the global economy's performance, as the demand for raw materials can be tied to economic growth.

Number of ETFs: 17
Avg. Expense Ratio: 0.49%
Avg. Dividend Yield: 1.33%
Avg. 1 Year Return: 35.58%
Median Risk/Return Score: 44 / 100

17 results

Symbol	Full Name	Category	Inception	Expense Ratio	YTD Return	10Y Return (Annualized)	Dividend Yield	Risk / Return Rank
BU	Defiance Daily Target 2X Long B ETF	Leveraged Equities, Gold, Materials	Nov 18, 2025	1.29%	-29.80%	—	0.00%	—
CUT	Invesco MSCI Global Timber ETF	Materials	Nov 9, 2007	0.55%	-3.79%	4.75%	2.56%	7
DVXB	WEBs Materials XLB Defined Volatility ETF	Materials	Jul 22, 2025	0.89%	17.83%	—	0.00%	—
FMAT	Fidelity MSCI Materials Index ETF	Materials	Oct 21, 2013	0.08%	11.47%	10.49%	1.42%	33
FXZ	First Trust Materials AlphaDEX Fund	Materials	May 8, 2007	0.67%	23.93%	11.42%	1.45%	67
IYM	iShares U.S. Basic Materials ETF	Materials	Jun 20, 2000	0.42%	17.05%	10.93%	1.30%	51
MXI	iShares Global Materials ETF	Materials	Sep 21, 2006	0.46%	10.49%	11.27%	1.73%	40
PICK	iShares MSCI Global Metals & Mining Producers ETF	Metals, Natural Resources, Materials	Jan 31, 2012	0.39%	14.51%	16.39%	2.26%	69
PSCM	Invesco S&P SmallCap Materials ETF	Materials	Apr 7, 2010	0.29%	25.13%	12.97%	0.96%	78
PYZ	Invesco DWA Basic Materials Momentum ETF	Momentum, Materials	Oct 12, 2006	0.60%	14.04%	10.16%	0.47%	44
RSPM	Invesco S&P 500® Equal Weight Materials ETF	Materials, S&P 500, Equal Weight	Nov 1, 2006	0.40%	15.01%	10.95%	1.77%	36
SETM	Sprott Critical Materials ETF	Materials, Commodity Producers Equities	Feb 1, 2023	0.65%	8.50%	—	1.44%	61
SLX	VanEck Vectors Steel ETF	Materials	Oct 16, 2006	0.56%	18.05%	18.64%	1.31%	75
VAW	Vanguard Materials ETF	Materials	Jan 26, 2004	0.09%	11.08%	10.46%	1.39%	32
WOOD	iShares Global Timber & Forestry ETF	Materials	Jun 24, 2008	0.46%	-5.94%	6.12%	2.51%	6
XLB	Materials Select Sector SPDR ETF	Materials	Dec 16, 1998	0.13%	13.74%	10.50%	1.66%	32
XME	SPDR S&P Metals & Mining ETF	Materials	Jun 19, 2006	0.35%	3.62%	18.12%	0.35%	53

Best Materials ETFs by Risk/Return Score

The top Materials ETFs by PortfoliosLab Risk/Return Score are PSCM (78) and SLX (75). The score measures risk-adjusted performance over the past year, accounting for volatility, drawdown, and return consistency.

Symbol	Name	Risk / Return Rank	AUM	Inception
PSCM	Invesco S&P SmallCap Materials ETF	78	21.33M	Apr 2010
SLX	VanEck Vectors Steel ETF	75	210.45M	Oct 2006
PICK	iShares MSCI Global Metals & Mining Producers ETF	69	2.31B	Jan 2012
FXZ	First Trust Materials AlphaDEX Fund	67	430.05M	May 2007
SETM	Sprott Critical Materials ETF	61	636.44M	Feb 2023

Best-Performing Materials ETFs Over 5 Years

The top Materials ETFs is XME (21.11%). Across the lineup, Materials ETFs show an average 1-year return of 35.58% and an average 5-year return of 7.67%, providing a clearer view of performance across different investment horizons.

Symbol	Name	Return 5Y	AUM	Inception
XME	SPDR S&P Metals & Mining ETF	21.11%	4.90B	Jun 2006
SLX	VanEck Vectors Steel ETF	14.47%	210.45M	Oct 2006
PSCM	Invesco S&P SmallCap Materials ETF	11.08%	21.33M	Apr 2010
PICK	iShares MSCI Global Metals & Mining Producers ETF	9.85%	2.31B	Jan 2012
FXZ	First Trust Materials AlphaDEX Fund	8.57%	430.05M	May 2007

Lowest-Cost Materials ETFs

The top Materials ETFs is FMAT (0.08%). With an average expense ratio of 0.49%, Materials ETFs remain a low-cost option for investors seeking broad market exposure, sector allocations, and diversified portfolio building blocks.

Symbol	Name	Expense Ratio	AUM	Inception
FMAT	Fidelity MSCI Materials Index ETF	0.08%	615.81M	Oct 2013
VAW	Vanguard Materials ETF	0.09%	4.50B	Jan 2004
XLB	Materials Select Sector SPDR ETF	0.13%	8.35B	Dec 1998
PSCM	Invesco S&P SmallCap Materials ETF	0.29%	21.33M	Apr 2010
XME	SPDR S&P Metals & Mining ETF	0.35%	4.90B	Jun 2006

Highest-Yield Materials ETFs

The top Materials ETFs is CUT (2.56%). Across the lineup, Materials ETFs show an average dividend yield of 1.33%, offering investors a steady stream of income through regular dividend payments, making them attractive for income-seeking portfolios.

Symbol	Name	Dividend Yield	AUM	Inception
CUT	Invesco MSCI Global Timber ETF	2.56%	30.78M	Nov 2007
WOOD	iShares Global Timber & Forestry ETF	2.51%	250.41M	Jun 2008
PICK	iShares MSCI Global Metals & Mining Producers ETF	2.26%	2.31B	Jan 2012
RSPM	Invesco S&P 500® Equal Weight Materials ETF	1.77%	187.82M	Nov 2006
MXI	iShares Global Materials ETF	1.73%	358.26M	Sep 2006

Top ETFs Categories

Leveraged Equities · 529 ETFs Europe Equities · 513 ETFs Global Equities · 456 ETFs Derivative Income · 445 ETFs Large Cap Blend Equities · 442 ETFs Technology Equities · 379 ETFs Defined Outcome · 330 ETFs S&P 500 · 279 ETFs Large Cap Growth Equities · 233 ETFs Dividend · 214 ETFs Emerging Markets Equities · 211 ETFs Foreign Large Cap Equities · 208 ETFs Corporate Bonds · 198 ETFs Asia Pacific Equities · 187 ETFs Large Cap Value Equities · 177 ETFs Government Bonds · 173 ETFs Cryptocurrency · 171 ETFs High Yield Bonds · 167 ETFs Options Trading · 164 ETFs Precious Metals · 158 ETFs Municipal Bonds · 150 ETFs Energy Equities · 142 ETFs Health & Biotech Equities · 135 ETFs REIT · 130 ETFs Nasdaq-100 · 129 ETFs Diversified Portfolio · 119 ETFs Financials Equities · 116 ETFs European Government Bonds · 115 ETFs China Equities · 114 ETFs Japan Equities · 114 ETFs

Top ETFs Comparisons

Compare the top ETFs symbols based on PortfoliosLab usage data.

Risk vs. Return Scatterplot

The Risk vs. Return Scatterplot allows you to quickly compare funds, stocks, and ETFs in one view. It displays the yearly return of an instrument on one axis and the risk (volatility) on the other.

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