IXJ vs. XLV

Last updated Jun 24, 2026

IXJ (iShares Global Healthcare ETF) and XLV (State Street Health Care Select Sector SPDR ETF) are both Health & Biotech Equities funds - IXJ tracks the S&P Global 1200 Health Care (Sector) Capped Index while XLV tracks the Health Care Select Sector Index. Both are passively managed. Over the past 10 years, IXJ returned 8.54%/yr vs 10.01%/yr for XLV. Their correlation of 0.88 suggests significant overlap in exposure. IXJ charges 0.40%/yr vs 0.08%/yr for XLV.

Performance

IXJ vs. XLV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Global Healthcare ETF (IXJ) and State Street Health Care Select Sector SPDR ETF (XLV). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IXJ achieves a -1.76% return, which is significantly lower than XLV's -0.85% return. Over the past 10 years, IXJ has underperformed XLV with an annualized return of 8.54%, while XLV has yielded a comparatively higher 10.01% annualized return.

IXJ

• 1D: 1.45%
• 1M: 0.89%
• YTD: -1.76%
• 6M: -1.97%
• 1Y: 13.71%
• 3Y*: 5.44%
• 5Y*: 4.16%
• 10Y*: 8.54%

XLV

• 1D: 1.41%
• 1M: 1.98%
• YTD: -0.85%
• 6M: -0.97%
• 1Y: 17.16%
• 3Y*: 6.63%
• 5Y*: 5.69%
• 10Y*: 10.01%

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

IXJ vs. XLV - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IXJ iShares Global Healthcare ETF	-1.76%	14.99%	0.55%	3.62%	-4.94%	19.60%	12.74%	23.23%	2.83%	20.44%
XLV State Street Health Care Select Sector SPDR ETF	-0.85%	14.50%	2.47%	2.07%	-2.08%	26.04%	13.30%	20.45%	6.28%	21.77%

Correlation

The correlation between IXJ and XLV is 0.96 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.96
Correlation (3Y) Calculated over the trailing 3-year period	0.96
Correlation (5Y) Calculated over the trailing 5-year period	0.97
Correlation (10Y) Calculated over the trailing 10-year period	0.96
Correlation (All Time) Calculated using the full available price history since Nov 26, 2001	0.88

The correlation between IXJ and XLV has been stable across timeframes, ranging from 0.88 to 0.97 - a consistent structural relationship.

IXJ vs. XLV - Sectors Allocation Comparison

Sectors	IXJ	XLV
Healthcare	98.5%	100.0%
Consumer Defensive	0.5%	-
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Energy	-	-
Financial Services	-	-
Industrials	-	-
Real Estate	-	-
Technology	-	-
Utilities	-	-

Return for Risk

IXJ vs. XLV — Risk / Return Rank

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

IXJ

IXJ Risk / Return Rank: 26
IXJ Sharpe Ratio Rank: 27
IXJ Sortino Ratio Rank: 28
IXJ Omega Ratio Rank: 25
IXJ Calmar Ratio Rank: 27
IXJ Martin Ratio Rank: 24

XLV

XLV Risk / Return Rank: 32
XLV Sharpe Ratio Rank: 33
XLV Sortino Ratio Rank: 36
XLV Omega Ratio Rank: 31
XLV Calmar Ratio Rank: 34
XLV Martin Ratio Rank: 29

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.

IXJ vs. XLV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Global Healthcare ETF (IXJ) and State Street Health Care Select Sector SPDR ETF (XLV). 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.

	IXJ	XLV	Difference
Sharpe ratio: Return per unit of total volatility	0.93	1.14	-0.22
Sortino ratio: Return per unit of downside risk	1.49	1.81	-0.32
Omega ratio: Gain probability vs. loss probability	1.17	1.20	-0.03
Calmar ratio: Return relative to maximum drawdown	1.28	1.65	-0.37
Martin ratio: Return relative to average drawdown	3.02	3.89	-0.87

IXJ vs. XLV - Sharpe Ratio Comparison

The current IXJ Sharpe Ratio is 0.93, which is comparable to the XLV Sharpe Ratio of 1.14. The chart below compares the historical Sharpe Ratios of IXJ and XLV, 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

IXJ vs. XLV - Drawdown Comparison

The maximum IXJ drawdown since its inception was -40.60%, roughly equal to the maximum XLV drawdown of -39.17%. Use the drawdown chart below to compare losses from any high point for IXJ and XLV.

Drawdown Indicators

	IXJ	XLV	Difference
Max Drawdown Largest peak-to-trough decline	-40.60%	-39.17%	-1.43%
Max Drawdown (1Y) Largest decline over 1 year	-10.78%	-10.47%	-0.31%
Max Drawdown (3Y) Largest decline over 3 years	-18.14%	-17.11%	-1.03%
Max Drawdown (5Y) Largest decline over 5 years	-18.14%	-17.11%	-1.03%
Max Drawdown (10Y) Largest decline over 10 years	-27.35%	-28.40%	+1.05%
Current Drawdown Current decline from peak	-5.93%	-4.20%	-1.73%
Average Drawdown Average peak-to-trough decline	-6.92%	-7.12%	+0.20%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.56%	4.42%	+0.14%

Volatility

IXJ vs. XLV - Volatility Comparison

iShares Global Healthcare ETF (IXJ) and State Street Health Care Select Sector SPDR ETF (XLV) have volatilities of 5.06% and 5.27%, 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

	IXJ	XLV	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.06%	5.27%	-0.21%
Volatility (6M) Calculated over the trailing 6-month period	10.49%	10.68%	-0.19%
Volatility (1Y) Calculated over the trailing 1-year period	14.87%	15.09%	-0.22%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.28%	14.77%	-0.49%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.67%	16.57%	-0.90%

IXJ vs. XLV - Expense Ratio Comparison

IXJ has a 0.40% expense ratio, which is higher than XLV's 0.08% expense ratio.

Dividends

IXJ vs. XLV - Dividend Comparison

IXJ's dividend yield for the trailing twelve months is around 1.52%, less than XLV's 1.66% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IXJ iShares Global Healthcare ETF	1.52%	1.40%	1.50%	1.38%	1.17%	1.12%	1.27%	1.42%	2.11%	1.46%	1.73%	2.85%
XLV State Street Health Care Select Sector SPDR ETF	1.66%	1.60%	1.67%	1.59%	1.47%	1.33%	1.49%	2.17%	1.57%	1.47%	1.60%	1.43%

Frequently Asked Questions

Can I hold both IXJ and XLV in my portfolio?

With a correlation of 0.96, IXJ and XLV 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 is riskier, IXJ or XLV?

XLV has higher volatility (5.27%) compared to IXJ (5.06%). In terms of maximum drawdown, IXJ dropped -40.60% vs XLV's -39.17%.

Which ETF is better, IXJ or XLV?

On 10-year performance, XLV leads with 10.01% vs 8.54% for IXJ. On fees, XLV is cheaper at 0.08% per year. On volatility, IXJ has been the lower-risk option at 5.06%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IXJ or XLV?

Over the 10-year period, XLV has performed better with a 10.01% return vs 8.54%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IXJ or XLV?

XLV is cheaper with a 0.08% expense ratio, compared with 0.40% for IXJ.

Which ETF pays a higher dividend yield, IXJ or XLV?

XLV has the higher dividend yield at 1.66%, compared with 1.52% for IXJ.

What is the main difference between IXJ and XLV?

IXJ tracks S&P Global 1200 Health Care (Sector) Capped Index, while XLV tracks Health Care Select Sector Index. They also come from different issuers: iShares and State Street. Their fees differ too: 0.40% for IXJ and 0.08% for XLV.

Which has better risk-adjusted returns?

XLV currently has the higher Sharpe Ratio (1.14 vs 0.93), 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.