JEPQ vs. XLK

Last updated Jun 13, 2026

JEPQ (JPMorgan Nasdaq Equity Premium Income ETF) and XLK (State Street Technology Select Sector SPDR ETF) are both exchange-traded funds - JEPQ is a Nasdaq-100 fund tracking the Nasdaq-100 Index, while XLK is a Technology Equities fund tracking the S&P Technology Select Sector Daily Capped 35/20 Index. Both are passively managed. Over the past 3 years, JEPQ returned 19.91%/yr vs 30.28%/yr for XLK. Their correlation of 0.93 suggests significant overlap in exposure. JEPQ charges 0.35%/yr vs 0.08%/yr for XLK.

Performance

JEPQ vs. XLK - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in JPMorgan Nasdaq Equity Premium Income ETF (JEPQ) 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, JEPQ achieves a 7.85% return, which is significantly lower than XLK's 28.52% return.

JEPQ

• 1D: 0.62%
• 1M: 0.88%
• YTD: 7.85%
• 6M: 8.80%
• 1Y: 25.53%
• 3Y*: 19.91%
• 5Y*: —
• 10Y*: —

XLK

• 1D: 0.87%
• 1M: 4.50%
• YTD: 28.52%
• 6M: 28.96%
• 1Y: 53.24%
• 3Y*: 30.28%
• 5Y*: 22.02%
• 10Y*: 25.19%

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

JEPQ vs. XLK - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
JEPQ JPMorgan Nasdaq Equity Premium Income ETF	7.85%	15.18%	24.85%	36.28%	-11.16%
XLK State Street Technology Select Sector SPDR ETF	28.52%	24.61%	21.63%	56.02%	-12.79%

Correlation

The correlation between JEPQ and XLK is 0.88, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.88
Correlation (3Y) Calculated over the trailing 3-year period	0.92
Correlation (All Time) Calculated using the full available price history since May 4, 2022	0.93

The correlation between JEPQ and XLK has been stable across timeframes, ranging from 0.88 to 0.93 - a consistent structural relationship.

JEPQ vs. XLK - Sectors Allocation Comparison

Sectors	JEPQ	XLK
Technology	54.0%	99.7%
Communication Services	15.4%	-
Consumer Cyclical	12.8%	-
Consumer Defensive	7.1%	-
Healthcare	4.4%	-
Industrials	3.1%	0.1%
Utilities	1.3%	-
Basic Materials	1.0%	-
Energy	0.4%	0.2%
Financial Services	0.4%	-
Real Estate	0.2%	-

Return for Risk

JEPQ vs. XLK — Risk / Return Rank

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

JEPQ

JEPQ Risk / Return Rank: 74
JEPQ Sharpe Ratio Rank: 73
JEPQ Sortino Ratio Rank: 69
JEPQ Omega Ratio Rank: 79
JEPQ Calmar Ratio Rank: 66
JEPQ Martin Ratio Rank: 81

XLK

XLK Risk / Return Rank: 76
XLK Sharpe Ratio Rank: 85
XLK Sortino Ratio Rank: 76
XLK Omega Ratio Rank: 78
XLK Calmar Ratio Rank: 75
XLK Martin Ratio Rank: 68

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.

JEPQ vs. XLK - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for JPMorgan Nasdaq Equity Premium Income ETF (JEPQ) 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.

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.

	JEPQ	XLK	Difference
Sharpe ratio: Return per unit of total volatility	2.03	2.37	-0.34
Sortino ratio: Return per unit of downside risk	2.69	2.92	-0.22
Omega ratio: Gain probability vs. loss probability	1.40	1.39	+0.01
Calmar ratio: Return relative to maximum drawdown	2.91	3.36	-0.45
Martin ratio: Return relative to average drawdown	13.84	10.85	+2.99

JEPQ vs. XLK - Sharpe Ratio Comparison

The current JEPQ Sharpe Ratio is 2.03, which is comparable to the XLK Sharpe Ratio of 2.37. The chart below compares the historical Sharpe Ratios of JEPQ and XLK, 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

JEPQ vs. XLK - Drawdown Comparison

The maximum JEPQ drawdown since its inception was -20.07%, smaller than the maximum XLK drawdown of -82.05%. Use the drawdown chart below to compare losses from any high point for JEPQ and XLK.

Drawdown Indicators

	JEPQ	XLK	Difference
Max Drawdown Largest peak-to-trough decline	-20.07%	-82.05%	+61.98%
Max Drawdown (1Y) Largest decline over 1 year	-8.82%	-15.92%	+7.10%
Max Drawdown (3Y) Largest decline over 3 years	-20.07%	-25.66%	+5.59%
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	-1.64%	-6.77%	+5.13%
Average Drawdown Average peak-to-trough decline	-3.41%	-34.93%	+31.52%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.85%	4.92%	-3.07%

Volatility

JEPQ vs. XLK - Volatility Comparison

The current volatility for JPMorgan Nasdaq Equity Premium Income ETF (JEPQ) is 4.98%, while State Street Technology Select Sector SPDR ETF (XLK) has a volatility of 10.86%. This indicates that JEPQ experiences smaller price fluctuations and is considered to be less risky than XLK based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	JEPQ	XLK	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.98%	10.86%	-5.88%
Volatility (6M) Calculated over the trailing 6-month period	10.22%	18.92%	-8.70%
Volatility (1Y) Calculated over the trailing 1-year period	12.61%	22.55%	-9.94%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.73%	25.18%	-8.45%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.73%	24.64%	-7.91%

JEPQ vs. XLK - Expense Ratio Comparison

JEPQ has a 0.35% expense ratio, which is higher than XLK's 0.08% expense ratio.

Dividends

JEPQ vs. XLK - Dividend Comparison

JEPQ's dividend yield for the trailing twelve months is around 10.22%, more than XLK's 0.41% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
JEPQ JPMorgan Nasdaq Equity Premium Income ETF	10.22%	10.53%	9.65%	10.03%	9.44%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
XLK State Street Technology Select Sector SPDR ETF	0.41%	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 JEPQ and XLK in my portfolio?

JEPQ and XLK have a correlation of 0.88, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, JEPQ or XLK?

XLK has higher volatility (10.86%) compared to JEPQ (4.98%). In terms of maximum drawdown, JEPQ dropped -20.07% vs XLK's -82.05%.

Which ETF is better, JEPQ or XLK?

On 3-year performance, XLK leads with 30.28% vs 19.91% for JEPQ. On fees, XLK is cheaper at 0.08% per year. On volatility, JEPQ has been the lower-risk option at 4.98%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, JEPQ or XLK?

Over the 3-year period, XLK has performed better with a 30.28% return vs 19.91%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, JEPQ or XLK?

XLK is cheaper with a 0.08% expense ratio, compared with 0.35% for JEPQ.

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

JEPQ has the higher dividend yield at 10.22%, compared with 0.41% for XLK.

What is the main difference between JEPQ and XLK?

JEPQ is categorized as Nasdaq-100, while XLK is Technology Equities. JEPQ tracks Nasdaq-100 Index, while XLK tracks S&P Technology Select Sector Daily Capped 35/20 Index. They also come from different issuers: JPMorgan and State Street. Their fees differ too: 0.35% for JEPQ and 0.08% for XLK.

Which has better risk-adjusted returns?

XLK currently has the higher Sharpe Ratio (2.37 vs 2.03), 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.