SQLV vs. XME

Last updated Jun 24, 2026

SQLV (Royce Quant Small-Cap Quality Value ETF) and XME (SPDR S&P Metals & Mining ETF) are both exchange-traded funds - SQLV is a Small Cap Value Equities fund actively managed by Franklin Templeton, while XME is a Materials fund tracking the S&P Metals & Mining Select Industry Index. SQLV is actively managed, while XME is passively managed. Over the past 5 years, SQLV returned 7.15%/yr vs 21.39%/yr for XME. A 0.56 correlation means they provide meaningful diversification when combined. SQLV charges 0.60%/yr vs 0.35%/yr for XME.

Performance

SQLV vs. XME - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Royce Quant Small-Cap Quality Value ETF (SQLV) and SPDR S&P Metals & Mining ETF (XME). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SQLV achieves a 16.34% return, which is significantly higher than XME's 7.18% return.

SQLV

• 1D: 0.83%
• 1M: 3.63%
• YTD: 16.34%
• 6M: 15.01%
• 1Y: 28.84%
• 3Y*: 13.42%
• 5Y*: 7.15%
• 10Y*: —

XME

• 1D: -3.75%
• 1M: -5.21%
• YTD: 7.18%
• 6M: 2.81%
• 1Y: 68.16%
• 3Y*: 32.34%
• 5Y*: 21.39%
• 10Y*: 18.52%

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

SQLV vs. XME - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SQLV Royce Quant Small-Cap Quality Value ETF	16.34%	2.50%	4.76%	21.21%	-12.86%	37.14%	7.13%	17.41%	-10.55%	8.84%
XME SPDR S&P Metals & Mining ETF	7.18%	83.47%	-4.54%	21.51%	13.13%	34.92%	15.95%	14.69%	-26.78%	20.04%

Correlation

The correlation between SQLV and XME is 0.45, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.45
Correlation (3Y) Calculated over the trailing 3-year period	0.60
Correlation (5Y) Calculated over the trailing 5-year period	0.62
Correlation (All Time) Calculated using the full available price history since Jul 13, 2017	0.56

The correlation between SQLV and XME shifts across timeframes, from 0.45 (1 year) to 0.62 (5 years), reflecting how their relationship changes across market environments.

SQLV vs. XME - Sectors Allocation Comparison

Sectors	SQLV	XME
Financial Services	19.4%	-
Healthcare	18.5%	-
Technology	16.9%	2.2%
Consumer Cyclical	13.2%	-
Industrials	10.9%	0.4%
Consumer Defensive	7.2%	0.8%
Communication Services	4.6%	-
Energy	4.4%	22.5%
Basic Materials	3.4%	76.3%
Real Estate	0.9%	-
Utilities	0.6%	-

Return for Risk

SQLV vs. XME — Risk / Return Rank

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

SQLV

SQLV Risk / Return Rank: 56
SQLV Sharpe Ratio Rank: 51
SQLV Sortino Ratio Rank: 54
SQLV Omega Ratio Rank: 46
SQLV Calmar Ratio Rank: 70
SQLV Martin Ratio Rank: 59

XME

XME Risk / Return Rank: 54
XME Sharpe Ratio Rank: 58
XME Sortino Ratio Rank: 51
XME Omega Ratio Rank: 50
XME Calmar Ratio Rank: 64
XME Martin Ratio Rank: 46

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.

SQLV vs. XME - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Royce Quant Small-Cap Quality Value ETF (SQLV) and SPDR S&P Metals & Mining ETF (XME). 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.

	SQLV	XME	Difference
Sharpe ratio: Return per unit of total volatility	1.64	1.89	-0.25
Sortino ratio: Return per unit of downside risk	2.40	2.40	0.00
Omega ratio: Gain probability vs. loss probability	1.28	1.31	-0.03
Calmar ratio: Return relative to maximum drawdown	3.28	3.03	+0.25
Martin ratio: Return relative to average drawdown	9.82	7.40	+2.42

SQLV vs. XME - Sharpe Ratio Comparison

The current SQLV Sharpe Ratio is 1.64, which is comparable to the XME Sharpe Ratio of 1.89. The chart below compares the historical Sharpe Ratios of SQLV and XME, 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

SQLV vs. XME - Drawdown Comparison

The maximum SQLV drawdown since its inception was -48.34%, smaller than the maximum XME drawdown of -85.89%. Use the drawdown chart below to compare losses from any high point for SQLV and XME.

Drawdown Indicators

	SQLV	XME	Difference
Max Drawdown Largest peak-to-trough decline	-48.34%	-85.89%	+37.55%
Max Drawdown (1Y) Largest decline over 1 year	-8.84%	-22.60%	+13.76%
Max Drawdown (3Y) Largest decline over 3 years	-26.86%	-30.47%	+3.61%
Max Drawdown (5Y) Largest decline over 5 years	-26.86%	-37.27%	+10.41%
Max Drawdown (10Y) Largest decline over 10 years	—	-61.69%	—
Current Drawdown Current decline from peak	-0.96%	-16.45%	+15.49%
Average Drawdown Average peak-to-trough decline	-8.90%	-44.05%	+35.15%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.95%	9.24%	-6.29%

Volatility

SQLV vs. XME - Volatility Comparison

The current volatility for Royce Quant Small-Cap Quality Value ETF (SQLV) is 4.55%, while SPDR S&P Metals & Mining ETF (XME) has a volatility of 14.26%. This indicates that SQLV experiences smaller price fluctuations and is considered to be less risky than XME based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SQLV	XME	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.55%	14.26%	-9.71%
Volatility (6M) Calculated over the trailing 6-month period	11.56%	28.34%	-16.78%
Volatility (1Y) Calculated over the trailing 1-year period	17.69%	36.35%	-18.66%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.98%	32.76%	-11.78%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.32%	32.91%	-9.59%

SQLV vs. XME - Expense Ratio Comparison

SQLV has a 0.60% expense ratio, which is higher than XME's 0.35% expense ratio.

Dividends

SQLV vs. XME - Dividend Comparison

SQLV's dividend yield for the trailing twelve months is around 1.01%, more than XME's 0.34% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SQLV Royce Quant Small-Cap Quality Value ETF	1.01%	1.15%	1.11%	1.09%	1.24%	1.12%	1.22%	1.20%	1.08%	0.40%	0.00%	0.00%
XME SPDR S&P Metals & Mining ETF	0.34%	0.38%	0.65%	1.00%	1.64%	0.70%	0.99%	2.43%	2.23%	1.15%	1.02%	2.61%

Frequently Asked Questions

Can I hold both SQLV and XME in my portfolio?

SQLV and XME have a correlation of 0.45, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SQLV or XME?

XME has higher volatility (14.26%) compared to SQLV (4.55%). In terms of maximum drawdown, SQLV dropped -48.34% vs XME's -85.89%.

Which ETF is better, SQLV or XME?

On 5-year performance, XME leads with 21.39% vs 7.15% for SQLV. On fees, XME is cheaper at 0.35% per year. On volatility, SQLV has been the lower-risk option at 4.55%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SQLV or XME?

Over the 5-year period, XME has performed better with a 21.39% return vs 7.15%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SQLV or XME?

XME is cheaper with a 0.35% expense ratio, compared with 0.60% for SQLV.

Which ETF pays a higher dividend yield, SQLV or XME?

SQLV has the higher dividend yield at 1.01%, compared with 0.34% for XME.

What is the main difference between SQLV and XME?

SQLV is categorized as Small Cap Value Equities, while XME is Materials. They also come from different issuers: Franklin Templeton and State Street. Their fees differ too: 0.60% for SQLV and 0.35% for XME.

Which has better risk-adjusted returns?

XME currently has the higher Sharpe Ratio (1.89 vs 1.64), 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.