PEZ vs. XLU

Last updated Jun 4, 2026

PEZ (Invesco DWA Consumer Cyclicals Momentum ETF) and XLU (State Street Utilities Select Sector SPDR ETF) are both exchange-traded funds - PEZ is a Momentum fund tracking the DWA Consumer Cyclicals Technical Leaders Index, while XLU is a Utilities Equities fund tracking the Utilities Select Sector Index. Both are passively managed. Over the past 10 years, PEZ returned 9.46%/yr vs 9.15%/yr for XLU. At a 0.33 correlation, their price movements are largely independent. PEZ charges 0.60%/yr vs 0.08%/yr for XLU.

Performance

PEZ vs. XLU - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco DWA Consumer Cyclicals Momentum ETF (PEZ) and State Street Utilities Select Sector SPDR ETF (XLU). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PEZ achieves a -4.23% return, which is significantly lower than XLU's 3.11% return. Both investments have delivered pretty close results over the past 10 years, with PEZ having a 9.46% annualized return and XLU not far behind at 9.15%.

PEZ

• 1D: 0.45%
• 1M: 0.97%
• YTD: -4.23%
• 6M: -0.27%
• 1Y: 5.43%
• 3Y*: 14.83%
• 5Y*: 2.63%
• 10Y*: 9.46%

XLU

• 1D: -0.43%
• 1M: -5.74%
• YTD: 3.11%
• 6M: 1.25%
• 1Y: 9.11%
• 3Y*: 13.74%
• 5Y*: 9.25%
• 10Y*: 9.15%

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

PEZ vs. XLU - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PEZ Invesco DWA Consumer Cyclicals Momentum ETF	-4.23%	5.40%	20.06%	29.55%	-29.59%	20.35%	38.97%	18.05%	-6.85%	19.87%
XLU State Street Utilities Select Sector SPDR ETF	3.11%	16.03%	23.31%	-7.18%	1.44%	17.70%	0.51%	25.93%	3.94%	12.05%

Correlation

The correlation between PEZ and XLU is 0.24, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.24
Correlation (3Y) Calculated over the trailing 3-year period	0.28
Correlation (5Y) Calculated over the trailing 5-year period	0.27
Correlation (10Y) Calculated over the trailing 10-year period	0.22
Correlation (All Time) Calculated using the full available price history since Oct 13, 2006	0.33

The correlation between PEZ and XLU shifts across timeframes, from 0.22 (10 years) to 0.33 (all time), reflecting how their relationship changes across market environments.

PEZ vs. XLU - Sectors Allocation Comparison

Sectors	PEZ	XLU
Consumer Cyclical	66.0%	-
Communication Services	11.9%	-
Consumer Defensive	8.7%	-
Healthcare	6.9%	-
Technology	4.0%	-
Industrials	3.8%	-
Real Estate	1.9%	-
Financial Services	0.6%	-
Basic Materials	-	-
Energy	-	-
Utilities	-	100.0%

Return for Risk

PEZ vs. XLU — Risk / Return Rank

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

PEZ

PEZ Risk / Return Rank: 13
PEZ Sharpe Ratio Rank: 13
PEZ Sortino Ratio Rank: 12
PEZ Omega Ratio Rank: 12
PEZ Calmar Ratio Rank: 13
PEZ Martin Ratio Rank: 13

XLU

XLU Risk / Return Rank: 19
XLU Sharpe Ratio Rank: 19
XLU Sortino Ratio Rank: 18
XLU Omega Ratio Rank: 18
XLU Calmar Ratio Rank: 22
XLU Martin Ratio Rank: 19

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.

PEZ vs. XLU - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco DWA Consumer Cyclicals Momentum ETF (PEZ) and State Street Utilities Select Sector SPDR ETF (XLU). 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.

	PEZ	XLU	Difference
Sharpe ratio: Return per unit of total volatility	0.27	0.63	-0.36
Sortino ratio: Return per unit of downside risk	0.54	0.94	-0.40
Omega ratio: Gain probability vs. loss probability	1.06	1.12	-0.06
Calmar ratio: Return relative to maximum drawdown	0.34	1.00	-0.65
Martin ratio: Return relative to average drawdown	0.91	2.24	-1.32
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PEZ vs. XLU - Sharpe Ratio Comparison

The current PEZ Sharpe Ratio is 0.27, which is lower than the XLU Sharpe Ratio of 0.63. The chart below compares the historical Sharpe Ratios of PEZ and XLU, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	PEZ	XLU	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.27	0.63	-0.36
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.11	0.54	-0.43
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.38	0.48	-0.10
Sharpe Ratio (All Time) Calculated using the full available price history	0.32	0.40	-0.08

Drawdowns

PEZ vs. XLU - Drawdown Comparison

The maximum PEZ drawdown since its inception was -58.39%, which is greater than XLU's maximum drawdown of -51.98%. Use the drawdown chart below to compare losses from any high point for PEZ and XLU.

Drawdown Indicators

	PEZ	XLU	Difference
Max Drawdown Largest peak-to-trough decline	-58.39%	-51.98%	-6.41%
Max Drawdown (1Y) Largest decline over 1 year	-15.83%	-9.18%	-6.65%
Max Drawdown (3Y) Largest decline over 3 years	-31.48%	-17.26%	-14.22%
Max Drawdown (5Y) Largest decline over 5 years	-41.72%	-25.26%	-16.46%
Max Drawdown (10Y) Largest decline over 10 years	-52.05%	-36.07%	-15.98%
Current Drawdown Current decline from peak	-11.25%	-7.78%	-3.47%
Average Drawdown Average peak-to-trough decline	-13.86%	-10.22%	-3.64%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.96%	4.09%	+1.87%

Volatility

PEZ vs. XLU - Volatility Comparison

The current volatility for Invesco DWA Consumer Cyclicals Momentum ETF (PEZ) is 4.91%, while State Street Utilities Select Sector SPDR ETF (XLU) has a volatility of 5.41%. This indicates that PEZ experiences smaller price fluctuations and is considered to be less risky than XLU based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PEZ	XLU	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.91%	5.41%	-0.50%
Volatility (6M) Calculated over the trailing 6-month period	15.13%	11.53%	+3.60%
Volatility (1Y) Calculated over the trailing 1-year period	20.07%	14.57%	+5.50%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	24.48%	17.32%	+7.16%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	25.06%	19.26%	+5.80%

PEZ vs. XLU - Expense Ratio Comparison

PEZ has a 0.60% expense ratio, which is higher than XLU's 0.08% expense ratio.

Dividends

PEZ vs. XLU - Dividend Comparison

PEZ's dividend yield for the trailing twelve months is around 0.22%, less than XLU's 2.72% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PEZ Invesco DWA Consumer Cyclicals Momentum ETF	0.22%	0.11%	0.12%	0.60%	0.43%	0.23%	0.39%	0.01%	0.40%	0.42%	0.83%	0.64%
XLU State Street Utilities Select Sector SPDR ETF	2.72%	2.71%	2.96%	3.39%	2.92%	2.79%	3.14%	2.95%	3.33%	3.33%	3.41%	3.67%

Frequently Asked Questions

Can I hold both PEZ and XLU in my portfolio?

PEZ and XLU have a correlation of 0.24, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PEZ or XLU?

XLU has higher volatility (5.41%) compared to PEZ (4.91%). In terms of maximum drawdown, PEZ dropped -58.39% vs XLU's -51.98%.

Which ETF is better, PEZ or XLU?

On 10-year performance, PEZ leads with 9.46% vs 9.15% for XLU. On fees, XLU is cheaper at 0.08% per year. On volatility, PEZ has been the lower-risk option at 4.91%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PEZ or XLU?

Over the 10-year period, PEZ has performed better with a 9.46% return vs 9.15%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PEZ or XLU?

XLU is cheaper with a 0.08% expense ratio, compared with 0.60% for PEZ.

Which ETF pays a higher dividend yield, PEZ or XLU?

XLU has the higher dividend yield at 2.72%, compared with 0.22% for PEZ.

What is the main difference between PEZ and XLU?

PEZ is categorized as Momentum, while XLU is Utilities Equities. PEZ tracks DWA Consumer Cyclicals Technical Leaders Index, while XLU tracks Utilities Select Sector Index. They also come from different issuers: Invesco and State Street. Their fees differ too: 0.60% for PEZ and 0.08% for XLU.

Which has better risk-adjusted returns?

XLU currently has the higher Sharpe Ratio (0.63 vs 0.27), 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.