UGE vs. XLY

Last updated Jun 5, 2026

UGE (ProShares Ultra Consumer Goods) and XLY (Consumer Discretionary Select Sector SPDR Fund) are both exchange-traded funds - UGE is a Leveraged Equities fund tracking the Dow Jones U.S. Consumer Goods Index (200%), while XLY is a Consumer Discretionary Equities fund tracking the Consumer Discretionary Select Sector Index. Both are passively managed. Over the past 10 years, UGE returned 7.73%/yr vs 12.63%/yr for XLY. A 0.63 correlation means they provide meaningful diversification when combined. UGE charges 0.95%/yr vs 0.13%/yr for XLY.

Performance

UGE vs. XLY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ProShares Ultra Consumer Goods (UGE) and Consumer Discretionary Select Sector SPDR Fund (XLY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, UGE achieves a 9.38% return, which is significantly higher than XLY's -1.60% return. Over the past 10 years, UGE has underperformed XLY with an annualized return of 7.73%, while XLY has yielded a comparatively higher 12.63% annualized return.

UGE

• 1D: -0.22%
• 1M: -4.94%
• YTD: 9.38%
• 6M: 8.65%
• 1Y: -2.38%
• 3Y*: 4.97%
• 5Y*: -2.89%
• 10Y*: 7.73%

XLY

• 1D: 0.45%
• 1M: -0.69%
• YTD: -1.60%
• 6M: -1.13%
• 1Y: 10.01%
• 3Y*: 15.13%
• 5Y*: 7.39%
• 10Y*: 12.63%

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

UGE vs. XLY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
UGE ProShares Ultra Consumer Goods	9.38%	-5.21%	16.40%	2.38%	-46.78%	42.44%	56.64%	58.28%	-30.14%	32.38%
XLY Consumer Discretionary Select Sector SPDR Fund	-1.60%	7.37%	26.51%	39.64%	-36.27%	27.93%	29.63%	28.39%	1.58%	22.82%

Correlation

The correlation between UGE and XLY is 0.18, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.18
Correlation (3Y) Calculated over the trailing 3-year period	0.27
Correlation (5Y) Calculated over the trailing 5-year period	0.56
Correlation (10Y) Calculated over the trailing 10-year period	0.60
Correlation (All Time) Calculated using the full available price history since Feb 2, 2007	0.63

Over the past year, the correlation between UGE and XLY has dropped to 0.18 - well below their long-term average of 0.63, suggesting their price drivers have been diverging.

UGE vs. XLY - Sectors Allocation Comparison

Sectors	UGE	XLY
Consumer Defensive	99.0%	-
Consumer Cyclical	1.0%	97.5%
Basic Materials	-	-
Communication Services	-	1.4%
Energy	-	-
Financial Services	-	-
Healthcare	-	-
Industrials	-	0.1%
Real Estate	-	-
Technology	-	0.9%
Utilities	-	-

Return for Risk

UGE vs. XLY — Risk / Return Rank

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

UGE

UGE Risk / Return Rank: 8
UGE Sharpe Ratio Rank: 8
UGE Sortino Ratio Rank: 8
UGE Omega Ratio Rank: 8
UGE Calmar Ratio Rank: 8
UGE Martin Ratio Rank: 8

XLY

XLY Risk / Return Rank: 18
XLY Sharpe Ratio Rank: 19
XLY Sortino Ratio Rank: 18
XLY Omega Ratio Rank: 18
XLY Calmar Ratio Rank: 18
XLY Martin Ratio Rank: 20

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.

UGE vs. XLY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ProShares Ultra Consumer Goods (UGE) and Consumer Discretionary Select Sector SPDR Fund (XLY). 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.

	UGE	XLY	Difference
Sharpe ratio: Return per unit of total volatility	-0.10	0.55	-0.65
Sortino ratio: Return per unit of downside risk	0.04	0.89	-0.85
Omega ratio: Gain probability vs. loss probability	1.00	1.10	-0.10
Calmar ratio: Return relative to maximum drawdown	-0.13	0.67	-0.80
Martin ratio: Return relative to average drawdown	-0.23	2.11	-2.34
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

UGE vs. XLY - Sharpe Ratio Comparison

The current UGE Sharpe Ratio is -0.10, which is lower than the XLY Sharpe Ratio of 0.55. The chart below compares the historical Sharpe Ratios of UGE and XLY, 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

	UGE	XLY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.10	0.55	-0.65
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.09	0.31	-0.40
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.23	0.57	-0.34
Sharpe Ratio (All Time) Calculated using the full available price history	0.33	0.43	-0.09

Drawdowns

UGE vs. XLY - Drawdown Comparison

The maximum UGE drawdown since its inception was -71.36%, which is greater than XLY's maximum drawdown of -59.05%. Use the drawdown chart below to compare losses from any high point for UGE and XLY.

Drawdown Indicators

	UGE	XLY	Difference
Max Drawdown Largest peak-to-trough decline	-71.36%	-59.05%	-12.31%
Max Drawdown (1Y) Largest decline over 1 year	-18.95%	-14.98%	-3.97%
Max Drawdown (3Y) Largest decline over 3 years	-24.80%	-26.01%	+1.21%
Max Drawdown (5Y) Largest decline over 5 years	-56.55%	-39.67%	-16.88%
Max Drawdown (10Y) Largest decline over 10 years	-57.14%	-39.67%	-17.47%
Current Drawdown Current decline from peak	-38.21%	-5.64%	-32.57%
Average Drawdown Average peak-to-trough decline	-18.74%	-9.56%	-9.18%
Ulcer Index Depth and duration of drawdowns from previous peaks	10.46%	4.76%	+5.70%

Volatility

UGE vs. XLY - Volatility Comparison

ProShares Ultra Consumer Goods (UGE) has a higher volatility of 7.52% compared to Consumer Discretionary Select Sector SPDR Fund (XLY) at 5.17%. This indicates that UGE's price experiences larger fluctuations and is considered to be riskier than XLY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	UGE	XLY	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.52%	5.17%	+2.35%
Volatility (6M) Calculated over the trailing 6-month period	19.44%	13.10%	+6.34%
Volatility (1Y) Calculated over the trailing 1-year period	24.97%	18.16%	+6.81%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	31.30%	23.78%	+7.52%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	33.07%	22.05%	+11.02%

UGE vs. XLY - Expense Ratio Comparison

UGE has a 0.95% expense ratio, which is higher than XLY's 0.13% expense ratio.

Dividends

UGE vs. XLY - Dividend Comparison

UGE's dividend yield for the trailing twelve months is around 2.23%, more than XLY's 0.76% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
UGE ProShares Ultra Consumer Goods	2.23%	2.54%	1.43%	1.20%	0.74%	0.20%	0.41%	0.86%	0.76%	0.68%	0.76%	0.60%
XLY Consumer Discretionary Select Sector SPDR Fund	0.76%	0.79%	0.72%	0.78%	1.00%	0.53%	0.82%	1.28%	1.34%	1.20%	1.71%	1.43%

Frequently Asked Questions

Can I hold both UGE and XLY in my portfolio?

UGE and XLY have a correlation of 0.18, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, UGE or XLY?

UGE has higher volatility (7.52%) compared to XLY (5.17%). In terms of maximum drawdown, UGE dropped -71.36% vs XLY's -59.05%.

Which ETF is better, UGE or XLY?

On 10-year performance, XLY leads with 12.63% vs 7.73% for UGE. On fees, XLY is cheaper at 0.13% per year. On volatility, XLY has been the lower-risk option at 5.17%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, UGE or XLY?

Over the 10-year period, XLY has performed better with a 12.63% return vs 7.73%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, UGE or XLY?

XLY is cheaper with a 0.13% expense ratio, compared with 0.95% for UGE.

Which ETF pays a higher dividend yield, UGE or XLY?

UGE has the higher dividend yield at 2.23%, compared with 0.76% for XLY.

What is the main difference between UGE and XLY?

UGE is categorized as Leveraged Equities, while XLY is Consumer Discretionary Equities. UGE tracks Dow Jones U.S. Consumer Goods Index (200%), while XLY tracks Consumer Discretionary Select Sector Index. They also come from different issuers: ProShares and State Street. Their fees differ too: 0.95% for UGE and 0.13% for XLY.

Which has better risk-adjusted returns?

XLY currently has the higher Sharpe Ratio (0.55 vs -0.10), 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.