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ITB vs. XLI
Performance
Return for Risk
Drawdowns
Volatility
Dividends

ITB vs. XLI

Last updated Jul 14, 2026
Documentation

ITB (iShares U.S. Home Construction ETF) and XLI (Industrial Select Sector SPDR Fund) are both exchange-traded funds - ITB is a Building & Construction fund tracking the Dow Jones U.S. Select Home Construction Index, while XLI is a Industrials Equities fund tracking the Industrial Select Sector Index. Both are passively managed. Over the past 10 years, ITB returned 13.44%/yr vs 13.82%/yr for XLI. A 0.65 correlation means they provide meaningful diversification when combined. ITB charges 0.38%/yr vs 0.08%/yr for XLI.

Performance

ITB vs. XLI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares U.S. Home Construction ETF (ITB) and Industrial Select Sector SPDR Fund (XLI). The values are adjusted to include any dividend payments, if applicable.

Loading charts...

Returns By Period

In the year-to-date period, ITB achieves a 0.36% return, which is significantly lower than XLI's 16.89% return. Both investments have delivered pretty close results over the past 10 years, with ITB having a 13.44% annualized return and XLI not far ahead at 13.82%.

ITB

1D
-1.49%
1M
-0.51%
6M
-10.42%
YTD
0.36%
1Y
-1.85%
3Y*
3.64%
5Y*
8.49%
10Y*
13.44%

XLI

1D
-0.85%
1M
2.63%
6M
11.12%
YTD
16.89%
1Y
21.63%
3Y*
20.14%
5Y*
13.64%
10Y*
13.82%
*Multi-year figures are annualized to reflect compound growth (CAGR)

ITB vs. XLI - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
ITB
iShares U.S. Home Construction ETF		0.36%-5.26%2.06%68.91%-26.26%49.25%26.42%48.70%-30.92%59.65%
XLI
Industrial Select Sector SPDR Fund		16.89%19.35%17.31%18.13%-5.57%21.08%10.91%29.08%-13.25%23.98%

Correlation

The correlation between ITB and XLI is 0.63, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.63

Correlation (3Y)
Calculated over the trailing 3-year period

0.66

Correlation (5Y)
Calculated over the trailing 5-year period

0.69

Correlation (10Y)
Calculated over the trailing 10-year period

0.64

Correlation (All Time)
Calculated using the full available price history since May 5, 2006

0.65

The correlation between ITB and XLI has been stable across timeframes, ranging from 0.63 to 0.69 - a consistent structural relationship.

ITB vs. XLI - Sectors Allocation Comparison

Sectors
ITB
XLI

Consumer Cyclical

74.4%
0.5%

Industrials

16.0%
88.8%

Basic Materials

8.9%
1.7%

Real Estate

0.7%

-

Communication Services

-

-

Consumer Defensive

-

-

Energy

-

-

Financial Services

-

-

Healthcare

-

-

Technology

-

3.5%

Utilities

-

5.3%

Consumer Cyclical

ITB
74.4%
XLI
0.5%

Industrials

ITB
16.0%
XLI
88.8%

Basic Materials

ITB
8.9%
XLI
1.7%

Real Estate

ITB
0.7%
XLI

-

Communication Services

ITB

-

XLI

-

Consumer Defensive

ITB

-

XLI

-

Energy

ITB

-

XLI

-

Financial Services

ITB

-

XLI

-

Healthcare

ITB

-

XLI

-

Technology

ITB

-

XLI
3.5%

Utilities

ITB

-

XLI
5.3%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

iShares U.S. Home Construction ETF

Industrial Select Sector SPDR Fund

Often compared with ITB:
ITB vs. XHBITB vs. NAILITB vs. PKBITB vs. SPYITB vs. XLREITB vs. FSHOXITB vs. VGT
Often compared with XLI:
XLI vs. VISXLI vs. PAVEXLI vs. XLKXLI vs. SPYXLI vs. FIDUXLI vs. ITAXLI vs. AIRR

Return for Risk

ITB vs. XLI — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
ITB
ITB Risk / Return Rank: 99
Overall Rank
ITB Sharpe Ratio Rank: 99
Sharpe Ratio Rank
ITB Sortino Ratio Rank: 99
Sortino Ratio Rank
ITB Omega Ratio Rank: 99
Omega Ratio Rank
ITB Calmar Ratio Rank: 99
Calmar Ratio Rank
ITB Martin Ratio Rank: 99
Martin Ratio Rank
XLI
XLI Risk / Return Rank: 4646
Overall Rank
XLI Sharpe Ratio Rank: 4646
Sharpe Ratio Rank
XLI Sortino Ratio Rank: 4747
Sortino Ratio Rank
XLI Omega Ratio Rank: 4343
Omega Ratio Rank
XLI Calmar Ratio Rank: 4444
Calmar Ratio Rank
XLI Martin Ratio Rank: 5151
Martin Ratio Rank
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.

ITB vs. XLI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Home Construction ETF (ITB) and Industrial Select Sector SPDR Fund (XLI). 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.

ITBXLIDifference
Sharpe ratioReturn per unit of total volatility
-0.06
1.30

-1.36

Sortino ratioReturn per unit of downside risk
0.14
1.91

-1.76

Omega ratioGain probability vs. loss probability

1.02

1.23

-0.21

Calmar ratioReturn relative to maximum drawdown

-0.07

1.78

-1.85

Martin ratioReturn relative to average drawdown

-0.13

6.96

-7.09

ITB vs. XLI - Sharpe Ratio Comparison

The current ITB Sharpe Ratio is -0.06, which is lower than the XLI Sharpe Ratio of 1.30. The chart below compares the historical Sharpe Ratios of ITB and XLI, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Drawdowns

ITB vs. XLI - Drawdown Comparison

The maximum ITB drawdown since its inception was -86.53%, which is greater than XLI's maximum drawdown of -62.26%. Use the drawdown chart below to compare losses from any high point for ITB and XLI.

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Drawdown Indicators

ITBXLIDifference

Max Drawdown

Largest peak-to-trough decline

-86.53%

-62.26%

-24.27%

Max Drawdown (1Y)

Largest decline over 1 year

-26.04%

-12.21%

-13.83%

Max Drawdown (3Y)

Largest decline over 3 years

-33.35%

-18.49%

-14.86%

Max Drawdown (5Y)

Largest decline over 5 years

-40.55%

-21.64%

-18.91%

Max Drawdown (10Y)

Largest decline over 10 years

-52.10%

-42.33%

-9.77%

Current Drawdown

Current decline from peak

-23.92%

-2.80%

-21.12%

Average Drawdown

Average peak-to-trough decline

-37.02%

-9.18%

-27.84%

Ulcer Index

Depth and duration of drawdowns from previous peaks

14.00%

3.12%

+10.88%

Volatility

ITB vs. XLI - Volatility Comparison

iShares U.S. Home Construction ETF (ITB) has a higher volatility of 10.84% compared to Industrial Select Sector SPDR Fund (XLI) at 6.00%. This indicates that ITB's price experiences larger fluctuations and is considered to be riskier than XLI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

ITBXLIDifference

Volatility (1M)

Calculated over the trailing 1-month period

10.84%

6.00%

+4.84%

Volatility (6M)

Calculated over the trailing 6-month period

22.25%

13.85%

+8.40%

Volatility (1Y)

Calculated over the trailing 1-year period

30.26%

16.71%

+13.55%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

29.51%

17.60%

+11.91%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

30.14%

20.01%

+10.13%

ITB vs. XLI - Expense Ratio Comparison

ITB has a 0.38% expense ratio, which is higher than XLI's 0.08% expense ratio.

Dividends

ITB vs. XLI - Dividend Comparison

ITB's dividend yield for the trailing twelve months is around 0.67%, less than XLI's 1.14% yield.

PositionTTM20252024202320222021202020192018201720162015
ITB
iShares U.S. Home Construction ETF		0.67%1.67%0.46%0.48%0.86%0.37%0.46%0.50%0.63%0.28%0.43%0.34%
XLI
Industrial Select Sector SPDR Fund		1.14%1.29%1.44%1.63%1.63%1.25%1.55%1.94%2.15%1.77%2.07%2.15%

Frequently Asked Questions

ITB and XLI have a correlation of 0.63, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

ITB has higher volatility (10.84%) compared to XLI (6.00%). In terms of maximum drawdown, ITB dropped -86.53% vs XLI's -62.26%.

On 10-year performance, XLI leads with 13.82% vs 13.44% for ITB. On fees, XLI is cheaper at 0.08% per year. On volatility, XLI has been the lower-risk option at 6.00%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, XLI has performed better with a 13.82% return vs 13.44%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

XLI is cheaper with a 0.08% expense ratio, compared with 0.38% for ITB.

XLI has the higher dividend yield at 1.14%, compared with 0.67% for ITB.

ITB is categorized as Building & Construction, while XLI is Industrials Equities. ITB tracks Dow Jones U.S. Select Home Construction Index, while XLI tracks Industrial Select Sector Index. They also come from different issuers: iShares and State Street. Their fees differ too: 0.38% for ITB and 0.08% for XLI.

XLI currently has the higher Sharpe Ratio (1.30 vs -0.06), 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.

Portfolio Optimizer

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