^NDXE vs. XBI

Last updated Jun 5, 2026

^NDXE (NASDAQ 100 Equal Weighted Index) is an index, while XBI (SPDR S&P Biotech ETF) is Health & Biotech Equities fund tracking the S&P Biotechnology Select Industry Index. Over the past 10 years, ^NDXE returned 14.67%/yr vs 8.53%/yr for XBI. A 0.67 correlation means they provide meaningful diversification when combined.

Performance

^NDXE vs. XBI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in NASDAQ 100 Equal Weighted Index (^NDXE) and SPDR S&P Biotech ETF (XBI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ^NDXE achieves a 18.53% return, which is significantly higher than XBI's 9.42% return. Over the past 10 years, ^NDXE has outperformed XBI with an annualized return of 14.67%, while XBI has yielded a comparatively lower 8.53% annualized return.

^NDXE

• 1D: -0.24%
• 1M: 9.05%
• YTD: 18.53%
• 6M: 17.23%
• 1Y: 27.31%
• 3Y*: 17.75%
• 5Y*: 9.50%
• 10Y*: 14.67%

XBI

• 1D: 2.77%
• 1M: -0.28%
• YTD: 9.42%
• 6M: 8.61%
• 1Y: 62.35%
• 3Y*: 15.65%
• 5Y*: 1.14%
• 10Y*: 8.53%

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

^NDXE vs. XBI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
^NDXE NASDAQ 100 Equal Weighted Index	18.53%	13.87%	6.26%	32.61%	-25.05%	17.50%	36.88%	35.17%	-5.62%	25.48%
XBI SPDR S&P Biotech ETF	9.42%	35.89%	1.01%	7.60%	-25.87%	-20.45%	48.33%	32.56%	-15.28%	43.77%

Correlation

The correlation between ^NDXE and XBI is 0.48, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.48
Correlation (3Y) Calculated over the trailing 3-year period	0.56
Correlation (5Y) Calculated over the trailing 5-year period	0.62
Correlation (10Y) Calculated over the trailing 10-year period	0.64
Correlation (All Time) Calculated using the full available price history since May 3, 2006	0.67

The correlation between ^NDXE and XBI shifts across timeframes, from 0.48 (1 year) to 0.67 (all time), reflecting how their relationship changes across market environments.

Return for Risk

^NDXE vs. XBI — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

^NDXE

^NDXE Risk / Return Rank: 67
^NDXE Sharpe Ratio Rank: 66
^NDXE Sortino Ratio Rank: 68
^NDXE Omega Ratio Rank: 67
^NDXE Calmar Ratio Rank: 70
^NDXE Martin Ratio Rank: 66

XBI

XBI Risk / Return Rank: 80
XBI Sharpe Ratio Rank: 77
XBI Sortino Ratio Rank: 75
XBI Omega Ratio Rank: 67
XBI Calmar Ratio Rank: 93
XBI Martin Ratio Rank: 89

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.

^NDXE vs. XBI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for NASDAQ 100 Equal Weighted Index (^NDXE) and SPDR S&P Biotech ETF (XBI). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	^NDXE	XBI	Difference
Sharpe ratio: Return per unit of total volatility	1.91	2.45	-0.54
Sortino ratio: Return per unit of downside risk	2.63	3.32	-0.69
Omega ratio: Gain probability vs. loss probability	1.32	1.40	-0.07
Calmar ratio: Return relative to maximum drawdown	2.87	6.45	-3.58
Martin ratio: Return relative to average drawdown	9.76	19.53	-9.77
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

^NDXE vs. XBI - Sharpe Ratio Comparison

The current ^NDXE Sharpe Ratio is 1.91, which is comparable to the XBI Sharpe Ratio of 2.45. The chart below compares the historical Sharpe Ratios of ^NDXE and XBI, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	^NDXE	XBI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.91	2.45	-0.54
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.47	0.04	+0.43
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.71	0.27	+0.44
Sharpe Ratio (All Time) Calculated using the full available price history	0.52	0.36	+0.16

Drawdowns

^NDXE vs. XBI - Drawdown Comparison

The maximum ^NDXE drawdown since its inception was -58.20%, smaller than the maximum XBI drawdown of -63.89%. Use the drawdown chart below to compare losses from any high point for ^NDXE and XBI.

Drawdown Indicators

	^NDXE	XBI	Difference
Max Drawdown Largest peak-to-trough decline	-58.20%	-63.89%	+5.69%
Max Drawdown (1Y) Largest decline over 1 year	-9.57%	-9.72%	+0.15%
Max Drawdown (3Y) Largest decline over 3 years	-21.54%	-32.99%	+11.45%
Max Drawdown (5Y) Largest decline over 5 years	-32.54%	-54.71%	+22.17%
Max Drawdown (10Y) Largest decline over 10 years	-32.54%	-63.89%	+31.35%
Current Drawdown Current decline from peak	-0.36%	-22.89%	+22.53%
Average Drawdown Average peak-to-trough decline	-8.35%	-20.93%	+12.58%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.80%	3.20%	-0.40%

Volatility

^NDXE vs. XBI - Volatility Comparison

The current volatility for NASDAQ 100 Equal Weighted Index (^NDXE) is 3.89%, while SPDR S&P Biotech ETF (XBI) has a volatility of 9.69%. This indicates that ^NDXE experiences smaller price fluctuations and is considered to be less risky than XBI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	^NDXE	XBI	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.89%	9.69%	-5.80%
Volatility (6M) Calculated over the trailing 6-month period	10.87%	20.31%	-9.44%
Volatility (1Y) Calculated over the trailing 1-year period	14.38%	25.60%	-11.22%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.49%	32.20%	-11.71%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.86%	32.00%	-11.14%

Frequently Asked Questions

Can I hold both ^NDXE and XBI in my portfolio?

^NDXE and XBI have a correlation of 0.48, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ^NDXE or XBI?

XBI has higher volatility (9.69%) compared to ^NDXE (3.89%). In terms of maximum drawdown, ^NDXE dropped -58.20% vs XBI's -63.89%.

Which has better risk-adjusted returns?

XBI currently has the higher Sharpe Ratio (2.45 vs 1.91), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.