ROOT vs. XLE

Last updated Aug 1, 2026

ROOT (Root, Inc.) is a stock, while XLE (State Street Energy Select Sector SPDR ETF) is Energy Equities fund tracking the Energy Select Sector Index. Over the past 5 years, ROOT returned -16.98%/yr vs 23.67%/yr for XLE. Their 0.10 correlation means their historical movements had little consistent relationship.

Performance

ROOT vs. XLE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Root, Inc. (ROOT) 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, ROOT achieves a -25.03% return, which is significantly lower than XLE's 35.03% return.

ROOT

• 1D: -6.70%
• 1M: -12.28%
• 6M: -12.84%
• YTD: -25.03%
• 1Y: -53.61%
• 3Y*: 70.47%
• 5Y*: -16.98%
• 10Y*: —
• ALL TIME*: -31.25%

XLE

• 1D: 1.00%
• 1M: 11.89%
• 6M: 18.26%
• YTD: 35.03%
• 1Y: 43.49%
• 3Y*: 14.62%
• 5Y*: 23.67%
• 10Y*: 10.52%
• ALL TIME*: 8.87%

*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)
ROOT Root, Inc.	$10.74M	$12.78M	$15.16M
XLE State Street Energy Select Sector SPDR ETF	$1.70B	$1.73B	$1.97B

ROOT vs. XLE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
ROOT Root, Inc.	-25.03%	-0.50%	592.65%	133.41%	-91.95%	-80.27%	-39.58%
XLE State Street Energy Select Sector SPDR ETF	35.03%	7.88%	5.56%	-0.63%	64.32%	53.28%	32.80%

Correlation

The correlation between ROOT and XLE is -0.09, meaning there was essentially no consistent relationship between their historical price movements. Each responded to its own set of market drivers.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	-0.09
Correlation (3Y) Balances recent behavior with more history.	0.12
Correlation (5Y) Shows whether the relationship held over a longer period.	0.13
Correlation (All Time) Calculated using the full available price history since Oct 28, 2020	0.10

The correlation between ROOT and XLE shifts across timeframes, from -0.09 (1 year) to 0.13 (5 years), reflecting how their relationship changes across market environments.

Return for Risk

ROOT vs. XLE — Risk / Return Rank

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

ROOT

ROOT Risk / Return Rank: 12
ROOT Sharpe Ratio Rank: 10
ROOT Sortino Ratio Rank: 12
ROOT Omega Ratio Rank: 12
ROOT Calmar Ratio Rank: 11
ROOT Martin Ratio Rank: 17

XLE

XLE Risk / Return Rank: 76
XLE Sharpe Ratio Rank: 84
XLE Sortino Ratio Rank: 79
XLE Omega Ratio Rank: 76
XLE Calmar Ratio Rank: 78
XLE Martin Ratio Rank: 62

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.

ROOT vs. XLE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Root, Inc. (ROOT) 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.

	ROOT	XLE	Difference
Sharpe ratio: Return per unit of total volatility	-0.80	1.95	-2.75
Sortino ratio: Return per unit of downside risk	-1.07	2.53	-3.59
Omega ratio: Gain probability vs. loss probability	0.87	1.32	-0.45
Calmar ratio: Return relative to maximum drawdown	-0.84	2.74	-3.58
Martin ratio: Return relative to average drawdown	-1.18	7.32	-8.49

ROOT vs. XLE - Sharpe Ratio Comparison

The current ROOT Sharpe Ratio is -0.80, which is lower than the XLE Sharpe Ratio of 1.95. The chart below compares the historical Sharpe Ratios of ROOT 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

ROOT vs. XLE - Drawdown Comparison

The maximum ROOT drawdown since its inception was -99.29%, which is greater than XLE's maximum drawdown of -71.26%. Use the drawdown chart below to compare losses from any high point for ROOT and XLE.

Drawdown Indicators

	ROOT	XLE	Difference
Max Drawdown Largest peak-to-trough decline	-99.29%	-71.26%	-28.03%
Max Drawdown (1Y) Largest decline over 1 year	-65.58%	-14.98%	-50.60%
Max Drawdown (3Y) Largest decline over 3 years	-75.68%	-20.14%	-55.54%
Max Drawdown (5Y) Largest decline over 5 years	-97.46%	-26.04%	-71.42%
Max Drawdown (10Y) Largest decline over 10 years	—	-66.81%	—
Current Drawdown Current decline from peak	-88.86%	-4.13%	-84.73%
Average Drawdown Average peak-to-trough decline	-83.84%	-17.93%	-65.91%
Ulcer Index Depth and duration of drawdowns from previous peaks	47.02%	5.62%	+41.40%

Volatility

ROOT vs. XLE - Volatility Comparison

Root, Inc. (ROOT) has a higher volatility of 19.08% compared to State Street Energy Select Sector SPDR ETF (XLE) at 5.85%. This indicates that ROOT'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

	ROOT	XLE	Difference
Volatility (1M) Calculated over the trailing 1-month period	19.08%	5.85%	+13.23%
Volatility (6M) Calculated over the trailing 6-month period	49.20%	16.71%	+32.49%
Volatility (1Y) Calculated over the trailing 1-year period	69.48%	21.05%	+48.43%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	101.91%	25.77%	+76.14%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	99.54%	29.57%	+69.97%

Dividends

ROOT vs. XLE - Dividend Comparison

ROOT has not paid dividends to shareholders, while XLE's dividend yield for the trailing twelve months is around 2.55%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ROOT Root, Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
XLE State Street Energy Select Sector SPDR ETF	2.55%	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 ROOT and XLE in my portfolio?

ROOT and XLE have a correlation of -0.09, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ROOT or XLE?

ROOT has higher volatility (19.08%) compared to XLE (5.85%). In terms of maximum drawdown, ROOT dropped -99.29% vs XLE's -71.26%.

Which has better risk-adjusted returns?

XLE currently has the higher Sharpe Ratio (1.95 vs -0.80), 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.