KBE vs. FNCL

Last updated Aug 2, 2026

KBE (State Street SPDR S&P Bank ETF) and FNCL (Fidelity MSCI Financials Index ETF) are both Financials Equities funds - KBE tracks the S&P Banks Select Industry Index while FNCL tracks the MSCI USA IMI Financials Index. Both are passively managed. Over the past 10 years, KBE returned 11.05%/yr vs 13.39%/yr for FNCL. Their correlation of 0.90 means they have usually moved in the same direction. KBE charges 0.35%/yr vs 0.08%/yr for FNCL.

Performance

KBE vs. FNCL - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in State Street SPDR S&P Bank ETF (KBE) and Fidelity MSCI Financials Index ETF (FNCL). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, KBE achieves a 16.05% return, which is significantly higher than FNCL's 5.30% return. Over the past 10 years, KBE has underperformed FNCL with an annualized return of 11.05%, while FNCL has yielded a comparatively higher 13.39% annualized return.

KBE

• 1D: 0.24%
• 1M: 1.50%
• 6M: 10.80%
• YTD: 16.05%
• 1Y: 29.08%
• 3Y*: 22.07%
• 5Y*: 10.07%
• 10Y*: 11.05%
• ALL TIME*: 3.92%

FNCL

• 1D: -0.16%
• 1M: 2.30%
• 6M: 7.40%
• YTD: 5.30%
• 1Y: 13.08%
• 3Y*: 19.64%
• 5Y*: 11.32%
• 10Y*: 13.39%
• ALL TIME*: 11.78%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
FNCL Fidelity MSCI Financials Index ETF	$7.49M	$8.37M	$7.85M
KBE State Street SPDR S&P Bank ETF	$98.17M	$107.02M	$128.95M

KBE vs. FNCL - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
KBE State Street SPDR S&P Bank ETF	16.05%	12.36%	23.78%	5.30%	-14.83%	33.46%	-8.75%	29.78%	-19.65%	10.49%
FNCL Fidelity MSCI Financials Index ETF	5.30%	14.94%	30.44%	14.10%	-12.28%	34.92%	-2.19%	31.59%	-13.44%	19.99%

Correlation

The correlation between KBE and FNCL is 0.77, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.77
Correlation (3Y) Balances recent behavior with more history.	0.83
Correlation (5Y) Shows whether the relationship held over a longer period.	0.87
Correlation (10Y) Provides a long-term view across more market conditions.	0.90
Correlation (All Time) Calculated using the full available price history since Oct 24, 2013	0.90

The correlation between KBE and FNCL shifts across timeframes, from 0.77 (1 year) to 0.90 (10 years), reflecting how their relationship changes across market environments.

KBE vs. FNCL - Sectors Allocation Comparison

Sectors	KBE	FNCL
Financial Services	100.0%	97.0%
Basic Materials	-	-
Communication Services	-	0.0%
Consumer Cyclical	-	0.0%
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	0.1%
Industrials	-	0.2%
Real Estate	-	0.7%
Technology	-	1.9%
Utilities	-	-

Return for Risk

KBE vs. FNCL — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

KBE

KBE Risk / Return Rank: 51
KBE Sharpe Ratio Rank: 53
KBE Sortino Ratio Rank: 51
KBE Omega Ratio Rank: 53
KBE Calmar Ratio Rank: 52
KBE Martin Ratio Rank: 44

FNCL

FNCL Risk / Return Rank: 28
FNCL Sharpe Ratio Rank: 31
FNCL Sortino Ratio Rank: 29
FNCL Omega Ratio Rank: 29
FNCL Calmar Ratio Rank: 25
FNCL Martin Ratio Rank: 25

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

KBE vs. FNCL - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for State Street SPDR S&P Bank ETF (KBE) and Fidelity MSCI Financials Index ETF (FNCL). 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.

	KBE	FNCL	Difference
Sharpe ratio: Return per unit of total volatility	1.27	0.74	+0.53
Sortino ratio: Return per unit of downside risk	1.81	1.09	+0.72
Omega ratio: Gain probability vs. loss probability	1.24	1.14	+0.10
Calmar ratio: Return relative to maximum drawdown	1.85	0.75	+1.10
Martin ratio: Return relative to average drawdown	4.90	1.94	+2.96

KBE vs. FNCL - Sharpe Ratio Comparison

The current KBE Sharpe Ratio is 1.27, which is higher than the FNCL Sharpe Ratio of 0.74. The chart below compares the historical Sharpe Ratios of KBE and FNCL, 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

KBE vs. FNCL - Drawdown Comparison

The maximum KBE drawdown since its inception was -83.15%, which is greater than FNCL's maximum drawdown of -44.38%. Use the drawdown chart below to compare losses from any high point for KBE and FNCL.

Drawdown Indicators

	KBE	FNCL	Difference
Max Drawdown Largest peak-to-trough decline	-83.15%	-44.38%	-38.77%
Max Drawdown (1Y) Largest decline over 1 year	-14.63%	-14.78%	+0.15%
Max Drawdown (3Y) Largest decline over 3 years	-25.97%	-17.29%	-8.68%
Max Drawdown (5Y) Largest decline over 5 years	-45.25%	-25.68%	-19.57%
Max Drawdown (10Y) Largest decline over 10 years	-53.14%	-44.38%	-8.76%
Current Drawdown Current decline from peak	-2.30%	-1.17%	-1.13%
Average Drawdown Average peak-to-trough decline	-27.33%	-6.85%	-20.48%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.50%	5.68%	-0.18%

Volatility

KBE vs. FNCL - Volatility Comparison

State Street SPDR S&P Bank ETF (KBE) has a higher volatility of 5.24% compared to Fidelity MSCI Financials Index ETF (FNCL) at 3.93%. This indicates that KBE's price experiences larger fluctuations and is considered to be riskier than FNCL based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	KBE	FNCL	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.24%	3.93%	+1.31%
Volatility (6M) Calculated over the trailing 6-month period	14.49%	11.15%	+3.34%
Volatility (1Y) Calculated over the trailing 1-year period	21.29%	15.00%	+6.29%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	27.05%	19.09%	+7.96%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	29.67%	22.28%	+7.39%

KBE vs. FNCL - Expense Ratio Comparison

KBE has a 0.35% expense ratio, which is higher than FNCL's 0.08% expense ratio.

Dividends

KBE vs. FNCL - Dividend Comparison

KBE's dividend yield for the trailing twelve months is around 2.11%, more than FNCL's 1.56% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FNCL Fidelity MSCI Financials Index ETF	1.56%	1.45%	1.52%	1.91%	2.29%	1.75%	2.26%	2.17%	2.37%	1.60%	1.81%	2.17%
KBE State Street SPDR S&P Bank ETF	2.11%	2.51%	2.35%	2.78%	2.99%	2.16%	2.44%	2.33%	2.18%	1.36%	1.39%	1.70%

Frequently Asked Questions

Can I hold both KBE and FNCL in my portfolio?

KBE and FNCL have a correlation of 0.77, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, KBE or FNCL?

KBE has higher volatility (5.24%) compared to FNCL (3.93%). In terms of maximum drawdown, KBE dropped -83.15% vs FNCL's -44.38%.

Which ETF is better, KBE or FNCL?

On 10-year performance, FNCL leads with 13.39% vs 11.05% for KBE. On fees, FNCL is cheaper at 0.08% per year. On volatility, FNCL has been the lower-risk option at 3.93%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, KBE or FNCL?

Over the 10-year period, FNCL has performed better with a 13.39% return vs 11.05%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, KBE or FNCL?

FNCL is cheaper with a 0.08% expense ratio, compared with 0.35% for KBE.

Which ETF pays a higher dividend yield, KBE or FNCL?

KBE has the higher dividend yield at 2.11%, compared with 1.56% for FNCL.

What is the main difference between KBE and FNCL?

KBE tracks S&P Banks Select Industry Index, while FNCL tracks MSCI USA IMI Financials Index. They also come from different issuers: State Street and Fidelity. Their fees differ too: 0.35% for KBE and 0.08% for FNCL.

Which has better risk-adjusted returns?

KBE currently has the higher Sharpe Ratio (1.27 vs 0.74), 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.