PSI vs. XLE

Last updated Jun 24, 2026

PSI (Invesco Semiconductors ETF) and XLE (State Street Energy Select Sector SPDR ETF) are both exchange-traded funds - PSI is a Semiconductors fund tracking the Dynamic Semiconductors Intellidex Index, while XLE is a Energy Equities fund tracking the Energy Select Sector Index. Both are passively managed. Over the past 10 years, PSI returned 35.27%/yr vs 9.37%/yr for XLE. At a 0.42 correlation, their price movements are largely independent. PSI charges 0.56%/yr vs 0.08%/yr for XLE.

Performance

PSI vs. XLE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco Semiconductors ETF (PSI) and State Street Energy Select Sector SPDR ETF (XLE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PSI achieves a 116.16% return, which is significantly higher than XLE's 23.49% return. Over the past 10 years, PSI has outperformed XLE with an annualized return of 35.27%, while XLE has yielded a comparatively lower 9.37% annualized return.

PSI

• 1D: -7.60%
• 1M: 10.87%
• YTD: 116.16%
• 6M: 110.97%
• 1Y: 200.81%
• 3Y*: 58.76%
• 5Y*: 32.86%
• 10Y*: 35.27%

XLE

• 1D: 0.74%
• 1M: -7.80%
• YTD: 23.49%
• 6M: 24.07%
• 1Y: 30.55%
• 3Y*: 15.73%
• 5Y*: 18.87%
• 10Y*: 9.37%

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

PSI vs. XLE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PSI Invesco Semiconductors ETF	116.16%	36.32%	17.17%	49.06%	-34.43%	46.55%	56.75%	52.49%	-11.55%	40.16%
XLE State Street Energy Select Sector SPDR ETF	23.49%	7.88%	5.56%	-0.63%	64.32%	53.28%	-32.67%	11.74%	-18.22%	-0.89%

Correlation

The correlation between PSI and XLE is -0.01, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.01
Correlation (3Y) Calculated over the trailing 3-year period	0.12
Correlation (5Y) Calculated over the trailing 5-year period	0.22
Correlation (10Y) Calculated over the trailing 10-year period	0.30
Correlation (All Time) Calculated using the full available price history since Jun 23, 2005	0.42

The correlation between PSI and XLE shifts across timeframes, from -0.01 (1 year) to 0.42 (all time), reflecting how their relationship changes across market environments.

PSI vs. XLE - Sectors Allocation Comparison

Sectors	PSI	XLE
Technology	98.4%	-
Industrials	1.6%	-
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	100.0%
Financial Services	-	-
Healthcare	-	-
Real Estate	-	-
Utilities	-	-

Return for Risk

PSI vs. XLE — Risk / Return Rank

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

PSI

PSI Risk / Return Rank: 96
PSI Sharpe Ratio Rank: 98
PSI Sortino Ratio Rank: 93
PSI Omega Ratio Rank: 93
PSI Calmar Ratio Rank: 98
PSI Martin Ratio Rank: 97

XLE

XLE Risk / Return Rank: 42
XLE Sharpe Ratio Rank: 44
XLE Sortino Ratio Rank: 41
XLE Omega Ratio Rank: 39
XLE Calmar Ratio Rank: 45
XLE Martin Ratio Rank: 42

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.

PSI vs. XLE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco Semiconductors ETF (PSI) and State Street Energy Select Sector SPDR ETF (XLE). 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.

	PSI	XLE	Difference
Sharpe ratio: Return per unit of total volatility	4.79	1.48	+3.31
Sortino ratio: Return per unit of downside risk	4.40	2.00	+2.39
Omega ratio: Gain probability vs. loss probability	1.61	1.25	+0.37
Calmar ratio: Return relative to maximum drawdown	13.06	2.18	+10.88
Martin ratio: Return relative to average drawdown	45.36	6.53	+38.83

PSI vs. XLE - Sharpe Ratio Comparison

The current PSI Sharpe Ratio is 4.79, which is higher than the XLE Sharpe Ratio of 1.48. The chart below compares the historical Sharpe Ratios of PSI and XLE, 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

PSI vs. XLE - Drawdown Comparison

The maximum PSI drawdown since its inception was -62.96%, smaller than the maximum XLE drawdown of -71.26%. Use the drawdown chart below to compare losses from any high point for PSI and XLE.

Drawdown Indicators

	PSI	XLE	Difference
Max Drawdown Largest peak-to-trough decline	-62.96%	-71.26%	+8.30%
Max Drawdown (1Y) Largest decline over 1 year	-15.48%	-14.05%	-1.43%
Max Drawdown (3Y) Largest decline over 3 years	-41.07%	-20.14%	-20.93%
Max Drawdown (5Y) Largest decline over 5 years	-44.85%	-26.04%	-18.81%
Max Drawdown (10Y) Largest decline over 10 years	-44.85%	-66.81%	+21.96%
Current Drawdown Current decline from peak	-7.60%	-12.32%	+4.72%
Average Drawdown Average peak-to-trough decline	-15.90%	-17.96%	+2.06%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.45%	4.69%	-0.24%

Volatility

PSI vs. XLE - Volatility Comparison

Invesco Semiconductors ETF (PSI) has a higher volatility of 21.88% compared to State Street Energy Select Sector SPDR ETF (XLE) at 7.12%. This indicates that PSI's price experiences larger fluctuations and is considered to be riskier than XLE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PSI	XLE	Difference
Volatility (1M) Calculated over the trailing 1-month period	21.88%	7.12%	+14.76%
Volatility (6M) Calculated over the trailing 6-month period	35.15%	16.82%	+18.33%
Volatility (1Y) Calculated over the trailing 1-year period	42.19%	20.93%	+21.26%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	38.84%	25.98%	+12.86%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	35.61%	29.60%	+6.01%

PSI vs. XLE - Expense Ratio Comparison

PSI has a 0.56% expense ratio, which is higher than XLE's 0.08% expense ratio.

Dividends

PSI vs. XLE - Dividend Comparison

PSI's dividend yield for the trailing twelve months is around 0.03%, less than XLE's 2.79% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PSI Invesco Semiconductors ETF	0.03%	0.10%	0.15%	0.40%	0.61%	0.14%	0.21%	0.52%	0.83%	0.21%	0.68%	0.16%
XLE State Street Energy Select Sector SPDR ETF	2.79%	3.28%	3.36%	3.55%	3.68%	4.21%	5.62%	6.72%	3.54%	3.03%	2.26%	3.39%

Frequently Asked Questions

Can I hold both PSI and XLE in my portfolio?

PSI and XLE have a correlation of -0.01, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PSI or XLE?

PSI has higher volatility (21.88%) compared to XLE (7.12%). In terms of maximum drawdown, PSI dropped -62.96% vs XLE's -71.26%.

Which ETF is better, PSI or XLE?

On 10-year performance, PSI leads with 35.27% vs 9.37% for XLE. On fees, XLE is cheaper at 0.08% per year. On volatility, XLE has been the lower-risk option at 7.12%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PSI or XLE?

Over the 10-year period, PSI has performed better with a 35.27% return vs 9.37%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PSI or XLE?

XLE is cheaper with a 0.08% expense ratio, compared with 0.56% for PSI.

Which ETF pays a higher dividend yield, PSI or XLE?

XLE has the higher dividend yield at 2.79%, compared with 0.03% for PSI.

What is the main difference between PSI and XLE?

PSI is categorized as Semiconductors, while XLE is Energy Equities. PSI tracks Dynamic Semiconductors Intellidex Index, while XLE tracks Energy Select Sector Index. They also come from different issuers: Invesco and State Street. Their fees differ too: 0.56% for PSI and 0.08% for XLE.

Which has better risk-adjusted returns?

PSI currently has the higher Sharpe Ratio (4.79 vs 1.48), 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.