EPI vs. XLF

Last updated Jun 13, 2026

EPI (WisdomTree India Earnings Fund) and XLF (State Street Financial Select Sector SPDR ETF) are both exchange-traded funds - EPI is a Asia Pacific Equities fund tracking the WisdomTree India Earnings Index, while XLF is a Financials Equities fund tracking the Financial Select Sector Index. Both are passively managed. Over the past 10 years, EPI returned 9.31%/yr vs 13.33%/yr for XLF. A 0.52 correlation means they provide meaningful diversification when combined. EPI charges 0.84%/yr vs 0.08%/yr for XLF.

Performance

EPI vs. XLF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in WisdomTree India Earnings Fund (EPI) and State Street Financial Select Sector SPDR ETF (XLF). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EPI achieves a -9.12% return, which is significantly lower than XLF's -2.11% return. Over the past 10 years, EPI has underperformed XLF with an annualized return of 9.31%, while XLF has yielded a comparatively higher 13.33% annualized return.

EPI

• 1D: 0.65%
• 1M: -0.33%
• YTD: -9.12%
• 6M: -6.55%
• 1Y: -10.30%
• 3Y*: 7.36%
• 5Y*: 5.53%
• 10Y*: 9.31%

XLF

• 1D: 1.37%
• 1M: 4.61%
• YTD: -2.11%
• 6M: -2.09%
• 1Y: 6.20%
• 3Y*: 18.86%
• 5Y*: 9.15%
• 10Y*: 13.33%

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

EPI vs. XLF - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
EPI WisdomTree India Earnings Fund	-9.12%	2.25%	10.70%	26.03%	-4.74%	26.41%	18.55%	1.53%	-9.88%	39.14%
XLF State Street Financial Select Sector SPDR ETF	-2.11%	14.90%	30.56%	12.03%	-10.59%	34.80%	-1.74%	31.88%	-13.06%	22.00%

Correlation

The correlation between EPI and XLF is 0.31, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.31
Correlation (3Y) Calculated over the trailing 3-year period	0.35
Correlation (5Y) Calculated over the trailing 5-year period	0.44
Correlation (10Y) Calculated over the trailing 10-year period	0.42
Correlation (All Time) Calculated using the full available price history since Feb 26, 2008	0.52

Over the past year, the correlation between EPI and XLF has dropped to 0.31 - well below their long-term average of 0.52, suggesting their price drivers have been diverging.

EPI vs. XLF - Sectors Allocation Comparison

Sectors	EPI	XLF
Financial Services	23.4%	98.0%
Energy	17.3%	-
Basic Materials	13.5%	-
Industrials	9.7%	0.2%
Utilities	8.4%	-
Technology	8.3%	1.8%
Consumer Cyclical	7.5%	-
Healthcare	5.5%	-
Consumer Defensive	3.5%	-
Communication Services	2.0%	-
Real Estate	0.9%	-

Return for Risk

EPI vs. XLF — Risk / Return Rank

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

EPI

EPI Risk / Return Rank: 4
EPI Sharpe Ratio Rank: 4
EPI Sortino Ratio Rank: 4
EPI Omega Ratio Rank: 4
EPI Calmar Ratio Rank: 5
EPI Martin Ratio Rank: 2

XLF

XLF Risk / Return Rank: 15
XLF Sharpe Ratio Rank: 17
XLF Sortino Ratio Rank: 15
XLF Omega Ratio Rank: 15
XLF Calmar Ratio Rank: 15
XLF Martin Ratio Rank: 15

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.

EPI vs. XLF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for WisdomTree India Earnings Fund (EPI) and State Street Financial Select Sector SPDR ETF (XLF). 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.

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.

	EPI	XLF	Difference
Sharpe ratio: Return per unit of total volatility	-0.69	0.42	-1.11
Sortino ratio: Return per unit of downside risk	-0.90	0.67	-1.57
Omega ratio: Gain probability vs. loss probability	0.90	1.08	-0.19
Calmar ratio: Return relative to maximum drawdown	-0.61	0.42	-1.03
Martin ratio: Return relative to average drawdown	-1.44	1.08	-2.52

EPI vs. XLF - Sharpe Ratio Comparison

The current EPI Sharpe Ratio is -0.69, which is lower than the XLF Sharpe Ratio of 0.42. The chart below compares the historical Sharpe Ratios of EPI and XLF, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

EPI vs. XLF - Drawdown Comparison

The maximum EPI drawdown since its inception was -66.21%, smaller than the maximum XLF drawdown of -82.69%. Use the drawdown chart below to compare losses from any high point for EPI and XLF.

Drawdown Indicators

	EPI	XLF	Difference
Max Drawdown Largest peak-to-trough decline	-66.21%	-82.69%	+16.48%
Max Drawdown (1Y) Largest decline over 1 year	-16.88%	-14.79%	-2.09%
Max Drawdown (3Y) Largest decline over 3 years	-21.89%	-15.54%	-6.35%
Max Drawdown (5Y) Largest decline over 5 years	-21.89%	-25.81%	+3.92%
Max Drawdown (10Y) Largest decline over 10 years	-50.29%	-42.86%	-7.43%
Current Drawdown Current decline from peak	-17.00%	-4.94%	-12.06%
Average Drawdown Average peak-to-trough decline	-18.65%	-20.01%	+1.36%
Ulcer Index Depth and duration of drawdowns from previous peaks	7.17%	5.76%	+1.41%

Volatility

EPI vs. XLF - Volatility Comparison

WisdomTree India Earnings Fund (EPI) and State Street Financial Select Sector SPDR ETF (XLF) have volatilities of 4.09% and 4.23%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EPI	XLF	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.09%	4.23%	-0.14%
Volatility (6M) Calculated over the trailing 6-month period	12.88%	11.26%	+1.62%
Volatility (1Y) Calculated over the trailing 1-year period	15.07%	14.69%	+0.38%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.23%	18.66%	-2.43%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.35%	22.17%	-1.82%

EPI vs. XLF - Expense Ratio Comparison

EPI has a 0.84% expense ratio, which is higher than XLF's 0.08% expense ratio.

Dividends

EPI vs. XLF - Dividend Comparison

EPI has not paid dividends to shareholders, while XLF's dividend yield for the trailing twelve months is around 1.49%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
EPI WisdomTree India Earnings Fund	0.00%	0.00%	0.27%	0.15%	6.01%	1.18%	0.78%	1.17%	1.18%	0.85%	1.05%	1.20%
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%

Frequently Asked Questions

Can I hold both EPI and XLF in my portfolio?

EPI and XLF have a correlation of 0.31, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, EPI or XLF?

XLF has higher volatility (4.23%) compared to EPI (4.09%). In terms of maximum drawdown, EPI dropped -66.21% vs XLF's -82.69%.

Which ETF is better, EPI or XLF?

On 10-year performance, XLF leads with 13.33% vs 9.31% for EPI. On fees, XLF is cheaper at 0.08% per year. On volatility, EPI has been the lower-risk option at 4.09%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EPI or XLF?

Over the 10-year period, XLF has performed better with a 13.33% return vs 9.31%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EPI or XLF?

XLF is cheaper with a 0.08% expense ratio, compared with 0.84% for EPI.

Which ETF pays a higher dividend yield, EPI or XLF?

XLF has the higher dividend yield at 1.49%, compared with 0.00% for EPI.

What is the main difference between EPI and XLF?

EPI is categorized as Asia Pacific Equities, while XLF is Financials Equities. EPI tracks WisdomTree India Earnings Index, while XLF tracks Financial Select Sector Index. They also come from different issuers: WisdomTree and State Street. Their fees differ too: 0.84% for EPI and 0.08% for XLF.

Which has better risk-adjusted returns?

XLF currently has the higher Sharpe Ratio (0.42 vs -0.69), 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.