FLAU vs. XLRE
FLAU (Franklin FTSE Australia ETF) and XLRE (Real Estate Select Sector SPDR Fund) are both exchange-traded funds - FLAU is a Asia Pacific Equities fund tracking the FTSE Australia RIC Capped Index, while XLRE is a REIT fund tracking the Real Estate Select Sector Index. Both are passively managed. Over the past 5 years, FLAU returned 6.14%/yr vs 3.32%/yr for XLRE. At a 0.48 correlation, their price movements are largely independent. FLAU charges 0.09%/yr vs 0.13%/yr for XLRE.
Performance
FLAU vs. XLRE - Performance Comparison
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Returns By Period
In the year-to-date period, FLAU achieves a 11.38% return, which is significantly lower than XLRE's 13.17% return.
FLAU
- 1D
- 1.00%
- 1M
- 0.48%
- YTD
- 11.38%
- 6M
- 12.15%
- 1Y
- 16.49%
- 3Y*
- 12.52%
- 5Y*
- 6.14%
- 10Y*
- —
XLRE
- 1D
- 0.98%
- 1M
- 3.30%
- YTD
- 13.17%
- 6M
- 13.29%
- 1Y
- 12.05%
- 3Y*
- 10.41%
- 5Y*
- 3.32%
- 10Y*
- 7.15%
FLAU vs. XLRE - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
FLAU Franklin FTSE Australia ETF | 11.38% | 15.95% | 1.81% | 12.58% | -5.58% | 9.90% | 11.00% | 23.38% | -10.17% | 1.89% |
XLRE Real Estate Select Sector SPDR Fund | 13.17% | 2.63% | 5.09% | 12.36% | -26.25% | 46.10% | -2.18% | 28.68% | -2.39% | 1.69% |
Correlation
The correlation between FLAU and XLRE is 0.40, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.40 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.49 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.53 |
Correlation (All Time) Calculated using the full available price history since Nov 6, 2017 | 0.48 |
The correlation between FLAU and XLRE shifts across timeframes, from 0.40 (1 year) to 0.53 (5 years), reflecting how their relationship changes across market environments.
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Return for Risk
FLAU vs. XLRE — Risk / Return Rank
FLAU
XLRE
FLAU vs. XLRE - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Franklin FTSE Australia ETF (FLAU) and Real Estate Select Sector SPDR Fund (XLRE). 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.
| FLAU | XLRE | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.07 | ||
| Sortino ratioReturn per unit of downside risk | +0.12 | ||
| Omega ratioGain probability vs. loss probability | 1.16 | 1.15 | +0.01 |
| Calmar ratioReturn relative to maximum drawdown | 1.50 | 1.34 | +0.16 |
| Martin ratioReturn relative to average drawdown | 4.50 | 3.69 | +0.81 |
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Drawdowns
FLAU vs. XLRE - Drawdown Comparison
The maximum FLAU drawdown since its inception was -45.73%, which is greater than XLRE's maximum drawdown of -38.83%. Use the drawdown chart below to compare losses from any high point for FLAU and XLRE.
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Drawdown Indicators
| FLAU | XLRE | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -45.73% | -38.83% | -6.90% |
Max Drawdown (1Y)Largest decline over 1 year | -10.01% | -8.33% | -1.68% |
Max Drawdown (3Y)Largest decline over 3 years | -22.03% | -16.74% | -5.29% |
Max Drawdown (5Y)Largest decline over 5 years | -24.68% | -34.12% | +9.44% |
Max Drawdown (10Y)Largest decline over 10 years | — | -38.83% | — |
Current DrawdownCurrent decline from peak | -2.31% | 0.00% | -2.31% |
Average DrawdownAverage peak-to-trough decline | -6.78% | -9.58% | +2.80% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 3.34% | 3.03% | +0.31% |
Volatility
FLAU vs. XLRE - Volatility Comparison
Franklin FTSE Australia ETF (FLAU) has a higher volatility of 5.83% compared to Real Estate Select Sector SPDR Fund (XLRE) at 4.81%. This indicates that FLAU's price experiences larger fluctuations and is considered to be riskier than XLRE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| FLAU | XLRE | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 5.83% | 4.81% | +1.02% |
Volatility (6M)Calculated over the trailing 6-month period | 14.31% | 10.20% | +4.11% |
Volatility (1Y)Calculated over the trailing 1-year period | 17.15% | 13.83% | +3.32% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 19.68% | 19.10% | +0.58% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 23.59% | 20.42% | +3.17% |
FLAU vs. XLRE - Expense Ratio Comparison
FLAU has a 0.09% expense ratio, which is lower than XLRE's 0.13% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.
Dividends
FLAU vs. XLRE - Dividend Comparison
FLAU's dividend yield for the trailing twelve months is around 2.92%, less than XLRE's 3.08% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
FLAU Franklin FTSE Australia ETF | 2.92% | 3.25% | 3.37% | 3.62% | 5.91% | 5.14% | 2.18% | 4.37% | 4.34% | 0.18% | 0.00% | 0.00% |
XLRE Real Estate Select Sector SPDR Fund | 3.08% | 3.45% | 3.43% | 3.31% | 3.70% | 2.61% | 3.15% | 3.06% | 3.78% | 3.25% | 4.22% | 1.09% |
Frequently Asked Questions
FLAU and XLRE have a correlation of 0.40, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
FLAU has higher volatility (5.83%) compared to XLRE (4.81%). In terms of maximum drawdown, FLAU dropped -45.73% vs XLRE's -38.83%.
On 5-year performance, FLAU leads with 6.14% vs 3.32% for XLRE. On fees, FLAU is cheaper at 0.09% per year. On volatility, XLRE has been the lower-risk option at 4.81%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 5-year period, FLAU has performed better with a 6.14% return vs 3.32%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
FLAU is cheaper with a 0.09% expense ratio, compared with 0.13% for XLRE.
XLRE has the higher dividend yield at 3.08%, compared with 2.92% for FLAU.
FLAU is categorized as Asia Pacific Equities, while XLRE is REIT. FLAU tracks FTSE Australia RIC Capped Index, while XLRE tracks Real Estate Select Sector Index. They also come from different issuers: Franklin Templeton and State Street. Their fees differ too: 0.09% for FLAU and 0.13% for XLRE.
FLAU currently has the higher Sharpe Ratio (0.88 vs 0.81), 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.
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