WELD vs. XLII

Last updated Jun 28, 2026

WELD (Tema U.S. Manufacturing & Reshoring ETF) and XLII (State Street Industrial Select Sector SPDR Premium Income ETF) are both exchange-traded funds - WELD is a Industrials Equities fund actively managed by Tema, while XLII is a Derivative Income fund actively managed by State Street. Both are actively managed. Their correlation of 0.90 suggests significant overlap in exposure. WELD charges 0.75%/yr vs 0.35%/yr for XLII.

Performance

WELD vs. XLII - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Tema U.S. Manufacturing & Reshoring ETF (WELD) and State Street Industrial Select Sector SPDR Premium Income ETF (XLII). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

WELD

• 1D: -2.82%
• 1M: —
• YTD: —
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

XLII

• 1D: -0.48%
• 1M: 4.49%
• YTD: 11.37%
• 6M: 10.61%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

WELD vs. XLII - Yearly Performance Comparison

	2026 (YTD)
WELD Tema U.S. Manufacturing & Reshoring ETF	-5.19%
XLII State Street Industrial Select Sector SPDR Premium Income ETF	0.45%

Correlation

The correlation between WELD and XLII is 0.90, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (All Time) Calculated using the full available price history since Jun 22, 2026	0.90

Return for Risk

WELD vs. XLII - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Tema U.S. Manufacturing & Reshoring ETF (WELD) and State Street Industrial Select Sector SPDR Premium Income ETF (XLII). 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.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Drawdowns

WELD vs. XLII - Drawdown Comparison

The maximum WELD drawdown since its inception was -6.34%, smaller than the maximum XLII drawdown of -10.10%. Use the drawdown chart below to compare losses from any high point for WELD and XLII.

Drawdown Indicators

	WELD	XLII	Difference
Max Drawdown Largest peak-to-trough decline	-6.34%	-10.10%	+3.76%
Current Drawdown Current decline from peak	-5.19%	-0.48%	-4.71%
Average Drawdown Average peak-to-trough decline	-4.46%	-1.29%	-3.17%

Volatility

Volatility by Period

	WELD	XLII	Difference
Volatility (1Y) Calculated over the trailing 1-year period	46.79%	12.20%	+34.59%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	46.79%	12.20%	+34.59%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	46.79%	12.20%	+34.59%

WELD vs. XLII - Expense Ratio Comparison

WELD has a 0.75% expense ratio, which is higher than XLII's 0.35% expense ratio.

Dividends

WELD vs. XLII - Dividend Comparison

WELD has not paid dividends to shareholders, while XLII's dividend yield for the trailing twelve months is around 10.82%.

Position	TTM	2025
WELD Tema U.S. Manufacturing & Reshoring ETF	0.00%	0.00%
XLII State Street Industrial Select Sector SPDR Premium Income ETF	10.82%	5.47%

Frequently Asked Questions

Can I hold both WELD and XLII in my portfolio?

With a correlation of 0.90, WELD and XLII move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which ETF is better, WELD or XLII?

On fees, XLII is cheaper at 0.35% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, WELD or XLII?

XLII is cheaper with a 0.35% expense ratio, compared with 0.75% for WELD.

Which ETF pays a higher dividend yield, WELD or XLII?

XLII has the higher dividend yield at 10.82%, compared with 0.00% for WELD.

What is the main difference between WELD and XLII?

WELD is categorized as Industrials Equities, while XLII is Derivative Income. They also come from different issuers: Tema and State Street. Their fees differ too: 0.75% for WELD and 0.35% for XLII.