SIMS vs. XLK

Last updated Jun 4, 2026

SIMS (SPDR S&P Kensho Intelligent Structures ETF) and XLK (State Street Technology Select Sector SPDR ETF) are both exchange-traded funds - SIMS is a Global Equities fund tracking the S&P Kensho Intelligent Infrastructure Index, while XLK is a Technology Equities fund tracking the S&P Technology Select Sector Daily Capped 35/20 Index. Both are passively managed. Over the past 5 years, SIMS returned 0.71%/yr vs 23.83%/yr for XLK. A 0.67 correlation means they provide meaningful diversification when combined. SIMS charges 0.45%/yr vs 0.08%/yr for XLK.

Performance

SIMS vs. XLK - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR S&P Kensho Intelligent Structures ETF (SIMS) and State Street Technology Select Sector SPDR ETF (XLK). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SIMS achieves a 13.06% return, which is significantly lower than XLK's 36.47% return.

SIMS

• 1D: -0.74%
• 1M: 1.83%
• YTD: 13.06%
• 6M: 9.06%
• 1Y: 39.98%
• 3Y*: 12.52%
• 5Y*: 0.71%
• 10Y*: —

XLK

• 1D: -1.00%
• 1M: 21.09%
• YTD: 36.47%
• 6M: 35.71%
• 1Y: 66.93%
• 3Y*: 33.90%
• 5Y*: 23.83%
• 10Y*: 25.84%

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

SIMS vs. XLK - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SIMS SPDR S&P Kensho Intelligent Structures ETF	13.06%	23.75%	-0.27%	7.43%	-27.13%	9.00%	29.88%	35.30%	-18.07%	0.03%
XLK State Street Technology Select Sector SPDR ETF	36.47%	24.61%	21.63%	56.02%	-27.73%	34.74%	43.62%	49.86%	-1.68%	-0.36%

Correlation

The correlation between SIMS and XLK is 0.65, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.65
Correlation (3Y) Calculated over the trailing 3-year period	0.62
Correlation (5Y) Calculated over the trailing 5-year period	0.71
Correlation (All Time) Calculated using the full available price history since Dec 28, 2017	0.67

The correlation between SIMS and XLK has been stable across timeframes, ranging from 0.62 to 0.71 - a consistent structural relationship.

SIMS vs. XLK - Sectors Allocation Comparison

Sectors	SIMS	XLK
Industrials	51.4%	0.1%
Technology	22.2%	99.7%
Energy	11.0%	0.2%
Communication Services	5.5%	-
Consumer Cyclical	3.4%	-
Basic Materials	3.3%	-
Utilities	3.2%	-
Consumer Defensive	-	-
Financial Services	-	-
Healthcare	-	-
Real Estate	-	-

Return for Risk

SIMS vs. XLK — Risk / Return Rank

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

SIMS

SIMS Risk / Return Rank: 48
SIMS Sharpe Ratio Rank: 51
SIMS Sortino Ratio Rank: 46
SIMS Omega Ratio Rank: 47
SIMS Calmar Ratio Rank: 52
SIMS Martin Ratio Rank: 42

XLK

XLK Risk / Return Rank: 83
XLK Sharpe Ratio Rank: 91
XLK Sortino Ratio Rank: 85
XLK Omega Ratio Rank: 83
XLK Calmar Ratio Rank: 80
XLK Martin Ratio Rank: 73

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.

SIMS vs. XLK - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR S&P Kensho Intelligent Structures ETF (SIMS) and State Street Technology Select Sector SPDR ETF (XLK). 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.

	SIMS	XLK	Difference
Sharpe ratio: Return per unit of total volatility	1.74	3.24	-1.50
Sortino ratio: Return per unit of downside risk	2.31	3.92	-1.62
Omega ratio: Gain probability vs. loss probability	1.30	1.52	-0.22
Calmar ratio: Return relative to maximum drawdown	2.54	4.22	-1.68
Martin ratio: Return relative to average drawdown	6.65	14.16	-7.51
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SIMS vs. XLK - Sharpe Ratio Comparison

The current SIMS Sharpe Ratio is 1.74, which is lower than the XLK Sharpe Ratio of 3.24. The chart below compares the historical Sharpe Ratios of SIMS and XLK, 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

	SIMS	XLK	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.74	3.24	-1.50
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.03	0.96	-0.93
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	1.06	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.25	0.42	-0.16

Drawdowns

SIMS vs. XLK - Drawdown Comparison

The maximum SIMS drawdown since its inception was -43.97%, smaller than the maximum XLK drawdown of -82.05%. Use the drawdown chart below to compare losses from any high point for SIMS and XLK.

Drawdown Indicators

	SIMS	XLK	Difference
Max Drawdown Largest peak-to-trough decline	-43.97%	-82.05%	+38.08%
Max Drawdown (1Y) Largest decline over 1 year	-15.79%	-15.92%	+0.13%
Max Drawdown (3Y) Largest decline over 3 years	-28.78%	-25.66%	-3.12%
Max Drawdown (5Y) Largest decline over 5 years	-43.97%	-33.56%	-10.41%
Max Drawdown (10Y) Largest decline over 10 years	—	-33.56%	—
Current Drawdown Current decline from peak	-0.74%	-1.00%	+0.26%
Average Drawdown Average peak-to-trough decline	-16.09%	-34.96%	+18.87%
Ulcer Index Depth and duration of drawdowns from previous peaks	6.03%	4.74%	+1.29%

Volatility

SIMS vs. XLK - Volatility Comparison

The current volatility for SPDR S&P Kensho Intelligent Structures ETF (SIMS) is 5.15%, while State Street Technology Select Sector SPDR ETF (XLK) has a volatility of 6.98%. This indicates that SIMS experiences smaller price fluctuations and is considered to be less risky than XLK based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SIMS	XLK	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.15%	6.98%	-1.83%
Volatility (6M) Calculated over the trailing 6-month period	14.95%	16.68%	-1.73%
Volatility (1Y) Calculated over the trailing 1-year period	23.26%	20.82%	+2.44%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	25.08%	24.90%	+0.18%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	26.02%	24.49%	+1.53%

SIMS vs. XLK - Expense Ratio Comparison

SIMS has a 0.45% expense ratio, which is higher than XLK's 0.08% expense ratio.

Dividends

SIMS vs. XLK - Dividend Comparison

SIMS's dividend yield for the trailing twelve months is around 0.57%, more than XLK's 0.39% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SIMS SPDR S&P Kensho Intelligent Structures ETF	0.57%	0.66%	0.88%	1.49%	1.48%	0.97%	0.58%	1.24%	0.85%	0.00%	0.00%	0.00%
XLK State Street Technology Select Sector SPDR ETF	0.39%	0.54%	0.66%	0.76%	1.04%	0.65%	0.92%	1.16%	1.60%	1.37%	1.74%	1.79%

Frequently Asked Questions

Can I hold both SIMS and XLK in my portfolio?

SIMS and XLK have a correlation of 0.65, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SIMS or XLK?

XLK has higher volatility (6.98%) compared to SIMS (5.15%). In terms of maximum drawdown, SIMS dropped -43.97% vs XLK's -82.05%.

Which ETF is better, SIMS or XLK?

On 5-year performance, XLK leads with 23.83% vs 0.71% for SIMS. On fees, XLK is cheaper at 0.08% per year. On volatility, SIMS has been the lower-risk option at 5.15%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SIMS or XLK?

Over the 5-year period, XLK has performed better with a 23.83% return vs 0.71%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SIMS or XLK?

XLK is cheaper with a 0.08% expense ratio, compared with 0.45% for SIMS.

Which ETF pays a higher dividend yield, SIMS or XLK?

SIMS has the higher dividend yield at 0.57%, compared with 0.39% for XLK.

What is the main difference between SIMS and XLK?

SIMS is categorized as Global Equities, while XLK is Technology Equities. SIMS tracks S&P Kensho Intelligent Infrastructure Index, while XLK tracks S&P Technology Select Sector Daily Capped 35/20 Index. Their fees differ too: 0.45% for SIMS and 0.08% for XLK.

Which has better risk-adjusted returns?

XLK currently has the higher Sharpe Ratio (3.24 vs 1.74), 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.