PHSTX vs. XLV

Last updated Jun 24, 2026

PHSTX (Putnam Global Health Care Fund) and XLV (State Street Health Care Select Sector SPDR ETF) are both Health & Biotech Equities funds. Over the past 10 years, PHSTX returned 9.57%/yr vs 10.01%/yr for XLV. Their correlation of 0.85 suggests significant overlap in exposure. PHSTX charges 1.05%/yr vs 0.08%/yr for XLV.

Performance

PHSTX vs. XLV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Putnam Global Health Care Fund (PHSTX) 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, PHSTX achieves a -1.27% return, which is significantly lower than XLV's -0.85% return. Both investments have delivered pretty close results over the past 10 years, with PHSTX having a 9.57% annualized return and XLV not far ahead at 10.01%.

PHSTX

• 1D: 1.19%
• 1M: -0.29%
• YTD: -1.27%
• 6M: -1.66%
• 1Y: 16.67%
• 3Y*: 7.21%
• 5Y*: 6.03%
• 10Y*: 9.57%

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)

PHSTX vs. XLV - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PHSTX Putnam Global Health Care Fund	-1.27%	15.20%	1.35%	9.11%	-4.88%	19.60%	15.94%	30.26%	-0.76%	15.30%
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 PHSTX and XLV is 0.95 - 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	0.95
Correlation (3Y) Calculated over the trailing 3-year period	0.92
Correlation (5Y) Calculated over the trailing 5-year period	0.92
Correlation (10Y) Calculated over the trailing 10-year period	0.92
Correlation (All Time) Calculated using the full available price history since Dec 22, 1998	0.85

The correlation between PHSTX and XLV shifts across timeframes, from 0.85 (all time) to 0.95 (1 year), reflecting how their relationship changes across market environments.

Return for Risk

PHSTX vs. XLV — Risk / Return Rank

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

PHSTX

PHSTX Risk / Return Rank: 21
PHSTX Sharpe Ratio Rank: 20
PHSTX Sortino Ratio Rank: 23
PHSTX Omega Ratio Rank: 19
PHSTX Calmar Ratio Rank: 26
PHSTX Martin Ratio Rank: 18

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.

PHSTX vs. XLV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Putnam Global Health Care Fund (PHSTX) 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.

	PHSTX	XLV	Difference
Sharpe ratio: Return per unit of total volatility	1.18	1.14	+0.04
Sortino ratio: Return per unit of downside risk	1.86	1.81	+0.05
Omega ratio: Gain probability vs. loss probability	1.21	1.20	+0.01
Calmar ratio: Return relative to maximum drawdown	1.76	1.65	+0.12
Martin ratio: Return relative to average drawdown	4.33	3.89	+0.45

PHSTX vs. XLV - Sharpe Ratio Comparison

The current PHSTX Sharpe Ratio is 1.18, which is comparable to the XLV Sharpe Ratio of 1.14. The chart below compares the historical Sharpe Ratios of PHSTX 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

PHSTX vs. XLV - Drawdown Comparison

The maximum PHSTX drawdown since its inception was -45.51%, which is greater than XLV's maximum drawdown of -39.17%. Use the drawdown chart below to compare losses from any high point for PHSTX and XLV.

Drawdown Indicators

	PHSTX	XLV	Difference
Max Drawdown Largest peak-to-trough decline	-45.51%	-39.17%	-6.34%
Max Drawdown (1Y) Largest decline over 1 year	-9.71%	-10.47%	+0.76%
Max Drawdown (3Y) Largest decline over 3 years	-20.71%	-17.11%	-3.60%
Max Drawdown (5Y) Largest decline over 5 years	-20.71%	-17.11%	-3.60%
Max Drawdown (10Y) Largest decline over 10 years	-25.51%	-28.40%	+2.89%
Current Drawdown Current decline from peak	-5.35%	-4.20%	-1.15%
Average Drawdown Average peak-to-trough decline	-9.92%	-7.12%	-2.80%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.94%	4.42%	-0.48%

Volatility

PHSTX vs. XLV - Volatility Comparison

Putnam Global Health Care Fund (PHSTX) and State Street Health Care Select Sector SPDR ETF (XLV) have volatilities of 5.08% 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

	PHSTX	XLV	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.08%	5.27%	-0.19%
Volatility (6M) Calculated over the trailing 6-month period	10.45%	10.68%	-0.23%
Volatility (1Y) Calculated over the trailing 1-year period	14.50%	15.09%	-0.59%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.49%	14.77%	-0.28%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.81%	16.57%	-0.76%

PHSTX vs. XLV - Expense Ratio Comparison

PHSTX has a 1.05% expense ratio, which is higher than XLV's 0.08% expense ratio.

Dividends

PHSTX vs. XLV - Dividend Comparison

PHSTX's dividend yield for the trailing twelve months is around 1.81%, more than XLV's 1.66% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PHSTX Putnam Global Health Care Fund	1.81%	1.79%	4.92%	5.62%	7.82%	11.98%	9.58%	5.72%	6.82%	17.31%	10.65%	13.06%
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 PHSTX and XLV in my portfolio?

With a correlation of 0.95, PHSTX 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, PHSTX or XLV?

XLV has higher volatility (5.27%) compared to PHSTX (5.08%). In terms of maximum drawdown, PHSTX dropped -45.51% vs XLV's -39.17%.

Which has better risk-adjusted returns?

PHSTX currently has the higher Sharpe Ratio (1.18 vs 1.14), 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.