BCTK vs. XLK

Last updated Jun 4, 2026

BCTK (Baron Technology ETF) and XLK (State Street Technology Select Sector SPDR ETF) are both Technology Equities funds. BCTK is actively managed, while XLK is passively managed. Their correlation of 0.93 suggests significant overlap in exposure. BCTK charges 0.75%/yr vs 0.08%/yr for XLK.

Performance

BCTK vs. XLK - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Baron Technology ETF (BCTK) and State Street Technology Select Sector SPDR ETF (XLK). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BCTK achieves a 27.46% return, which is significantly lower than XLK's 36.47% return.

BCTK

• 1D: -0.76%
• 1M: 15.19%
• YTD: 27.46%
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

XLK

• 1D: -1.00%
• 1M: 21.09%
• YTD: 36.47%
• 6M: 35.71%
• 1Y: 66.93%
• 3Y*: 33.90%
• 5Y*: 23.83%
• 10Y*: 25.84%

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

BCTK vs. XLK - Yearly Performance Comparison

	2026 (YTD)	2025
BCTK Baron Technology ETF	27.46%	1.80%
XLK State Street Technology Select Sector SPDR ETF	36.47%	1.33%

Correlation

The correlation between BCTK and XLK is 0.93, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (All Time) Calculated using the full available price history since Dec 16, 2025	0.93

Return for Risk

BCTK vs. XLK — Risk / Return Rank

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

XLK

XLK Risk / Return Rank: 83
XLK Sharpe Ratio Rank: 91
XLK Sortino Ratio Rank: 85
XLK Omega Ratio Rank: 83
XLK Calmar Ratio Rank: 80
XLK Martin Ratio Rank: 73

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.

BCTK vs. XLK - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Baron Technology ETF (BCTK) and State Street Technology Select Sector SPDR ETF (XLK). 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.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Sharpe Ratios by Period

	BCTK	XLK	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	3.24	—
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.96	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	1.06	—
Sharpe Ratio (All Time) Calculated using the full available price history	2.83	0.42	+2.42

Drawdowns

BCTK vs. XLK - Drawdown Comparison

The maximum BCTK drawdown since its inception was -13.96%, smaller than the maximum XLK drawdown of -82.05%. Use the drawdown chart below to compare losses from any high point for BCTK and XLK.

Drawdown Indicators

	BCTK	XLK	Difference
Max Drawdown Largest peak-to-trough decline	-13.96%	-82.05%	+68.09%
Max Drawdown (1Y) Largest decline over 1 year	—	-15.92%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-25.66%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-33.56%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-33.56%	—
Current Drawdown Current decline from peak	-0.76%	-1.00%	+0.24%
Average Drawdown Average peak-to-trough decline	-3.00%	-34.96%	+31.96%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	4.74%	—

Volatility

Volatility by Period

	BCTK	XLK	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	6.98%	—
Volatility (6M) Calculated over the trailing 6-month period	—	16.68%	—
Volatility (1Y) Calculated over the trailing 1-year period	26.98%	20.82%	+6.16%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	26.98%	24.90%	+2.08%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	26.98%	24.49%	+2.49%

BCTK vs. XLK - Expense Ratio Comparison

BCTK has a 0.75% expense ratio, which is higher than XLK's 0.08% expense ratio.

Dividends

BCTK vs. XLK - Dividend Comparison

BCTK has not paid dividends to shareholders, while XLK's dividend yield for the trailing twelve months is around 0.39%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BCTK Baron Technology ETF	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
XLK State Street Technology Select Sector SPDR ETF	0.39%	0.54%	0.66%	0.76%	1.04%	0.65%	0.92%	1.16%	1.60%	1.37%	1.74%	1.79%

Frequently Asked Questions

Can I hold both BCTK and XLK in my portfolio?

With a correlation of 0.93, BCTK and XLK move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which ETF is better, BCTK or XLK?

On fees, XLK is cheaper at 0.08% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, BCTK or XLK?

XLK is cheaper with a 0.08% expense ratio, compared with 0.75% for BCTK.

Which ETF pays a higher dividend yield, BCTK or XLK?

XLK has the higher dividend yield at 0.39%, compared with 0.00% for BCTK.

What is the main difference between BCTK and XLK?

They also come from different issuers: Baron Capital and State Street. Their fees differ too: 0.75% for BCTK and 0.08% for XLK.