KBE vs. XLFI

Last updated Jul 17, 2026

KBE (SPDR S&P Bank ETF) and XLFI (State Street Financial Select Sector SPDR Premium Income ETF) are both exchange-traded funds - KBE is a Financials Equities fund tracking the S&P Banks Select Industry Index, while XLFI is a Derivative Income fund actively managed by State Street. KBE is passively managed, while XLFI is actively managed. A 0.71 correlation means they provide meaningful diversification when combined. Both charge a 0.35% expense ratio.

Performance

KBE vs. XLFI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR S&P Bank ETF (KBE) and State Street Financial Select Sector SPDR Premium Income ETF (XLFI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, KBE achieves a 18.79% return, which is significantly higher than XLFI's 2.85% return.

KBE

• 1D: 2.44%
• 1M: 7.83%
• 6M: 13.42%
• YTD: 18.79%
• 1Y: 27.43%
• 3Y*: 26.33%
• 5Y*: 10.84%
• 10Y*: 11.11%

XLFI

• 1D: 0.37%
• 1M: 3.86%
• 6M: 3.40%
• YTD: 2.85%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

KBE vs. XLFI - Yearly Performance Comparison

	2026 (YTD)	2025
KBE SPDR S&P Bank ETF	18.79%	6.85%
XLFI State Street Financial Select Sector SPDR Premium Income ETF	2.85%	5.40%

Correlation

The correlation between KBE and XLFI is 0.71, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (All Time) Calculated using the full available price history since Jul 30, 2025	0.71

KBE vs. XLFI - Sectors Allocation Comparison

Sectors	KBE	XLFI
Financial Services	99.9%	99.9%
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	-
Industrials	-	-
Real Estate	-	-
Technology	-	-
Utilities	-	-

Return for Risk

KBE vs. XLFI — Risk / Return Rank

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

KBE

KBE Risk / Return Rank: 43
KBE Sharpe Ratio Rank: 44
KBE Sortino Ratio Rank: 43
KBE Omega Ratio Rank: 46
KBE Calmar Ratio Rank: 45
KBE Martin Ratio Rank: 39

XLFI

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

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.

KBE vs. XLFI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR S&P Bank ETF (KBE) and State Street Financial Select Sector SPDR Premium Income ETF (XLFI). 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	XLFI	Difference
Sharpe ratio: Return per unit of total volatility	1.29	—	—
Sortino ratio: Return per unit of downside risk	1.84	—	—
Omega ratio: Gain probability vs. loss probability	1.24	—	—
Calmar ratio: Return relative to maximum drawdown	1.88	—	—
Martin ratio: Return relative to average drawdown	4.95	—	—

Drawdowns

KBE vs. XLFI - Drawdown Comparison

The maximum KBE drawdown since its inception was -83.15%, which is greater than XLFI's maximum drawdown of -11.89%. Use the drawdown chart below to compare losses from any high point for KBE and XLFI.

Drawdown Indicators

	KBE	XLFI	Difference
Max Drawdown Largest peak-to-trough decline	-83.15%	-11.89%	-71.26%
Max Drawdown (1Y) Largest decline over 1 year	-14.63%	—	—
Max Drawdown (3Y) Largest decline over 3 years	-25.97%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-45.25%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-53.14%	—	—
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-27.39%	-3.13%	-24.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.55%	—	—

Volatility

Volatility by Period

	KBE	XLFI	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.22%	—	—
Volatility (6M) Calculated over the trailing 6-month period	15.35%	—	—
Volatility (1Y) Calculated over the trailing 1-year period	21.30%	11.96%	+9.34%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	27.15%	11.96%	+15.19%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	29.66%	11.96%	+17.70%

KBE vs. XLFI - Expense Ratio Comparison

Both KBE and XLFI have an expense ratio of 0.35%.

Dividends

KBE vs. XLFI - Dividend Comparison

KBE's dividend yield for the trailing twelve months is around 2.06%, less than XLFI's 11.32% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
KBE SPDR S&P Bank ETF	2.06%	2.51%	2.35%	2.78%	2.99%	2.16%	2.44%	2.33%	2.18%	1.36%	1.39%	1.70%
XLFI State Street Financial Select Sector SPDR Premium Income ETF	11.32%	5.57%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both KBE and XLFI in my portfolio?

KBE and XLFI have a correlation of 0.71, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, KBE or XLFI?

Both ETFs have the same 0.35% expense ratio. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, KBE or XLFI?

KBE and XLFI have the same expense ratio: 0.35% per year.

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

XLFI has the higher dividend yield at 11.32%, compared with 2.06% for KBE.

What is the main difference between KBE and XLFI?

KBE is categorized as Financials Equities, while XLFI is Derivative Income.