XBI vs. DFAI

Last updated Jun 16, 2026

XBI (SPDR S&P Biotech ETF) and DFAI (Dimensional International Core Equity Market ETF) are both exchange-traded funds - XBI is a Health & Biotech Equities fund tracking the S&P Biotechnology Select Industry Index, while DFAI is a Foreign Large Cap Equities fund actively managed by Dimensional. XBI is passively managed, while DFAI is actively managed. Over the past 5 years, XBI returned 0.52%/yr vs 9.68%/yr for DFAI. At a 0.50 correlation, their price movements are largely independent. XBI charges 0.35%/yr vs 0.18%/yr for DFAI.

Performance

XBI vs. DFAI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR S&P Biotech ETF (XBI) and Dimensional International Core Equity Market ETF (DFAI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XBI achieves a 11.87% return, which is significantly higher than DFAI's 10.55% return.

XBI

• 1D: 1.95%
• 1M: 4.37%
• YTD: 11.87%
• 6M: 11.41%
• 1Y: 63.76%
• 3Y*: 16.08%
• 5Y*: 0.52%
• 10Y*: 9.98%

DFAI

• 1D: 0.45%
• 1M: 2.91%
• YTD: 10.55%
• 6M: 11.38%
• 1Y: 25.58%
• 3Y*: 17.58%
• 5Y*: 9.68%
• 10Y*: —

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

XBI vs. DFAI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
XBI SPDR S&P Biotech ETF	11.87%	35.89%	1.01%	7.60%	-25.87%	-20.45%	11.21%
DFAI Dimensional International Core Equity Market ETF	10.55%	34.04%	4.68%	17.60%	-12.95%	13.86%	5.34%

Correlation

The correlation between XBI and DFAI is 0.51, 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	0.51
Correlation (3Y) Calculated over the trailing 3-year period	0.51
Correlation (5Y) Calculated over the trailing 5-year period	0.52
Correlation (All Time) Calculated using the full available price history since Nov 18, 2020	0.50

The correlation between XBI and DFAI has been stable across timeframes, ranging from 0.50 to 0.52 - a consistent structural relationship.

XBI vs. DFAI - Sectors Allocation Comparison

Sectors	XBI	DFAI
Healthcare	99.7%	8.5%
Financial Services	0.3%	23.5%
Basic Materials	0.2%	10.0%
Communication Services	-	3.5%
Consumer Cyclical	-	9.0%
Consumer Defensive	-	6.4%
Energy	-	7.2%
Industrials	-	18.4%
Real Estate	-	1.4%
Technology	-	7.7%
Utilities	-	4.0%

Return for Risk

XBI vs. DFAI — Risk / Return Rank

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

XBI

XBI Risk / Return Rank: 86
XBI Sharpe Ratio Rank: 85
XBI Sortino Ratio Rank: 83
XBI Omega Ratio Rank: 74
XBI Calmar Ratio Rank: 94
XBI Martin Ratio Rank: 91

DFAI

DFAI Risk / Return Rank: 56
DFAI Sharpe Ratio Rank: 58
DFAI Sortino Ratio Rank: 58
DFAI Omega Ratio Rank: 58
DFAI Calmar Ratio Rank: 52
DFAI Martin Ratio Rank: 57

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.

XBI vs. DFAI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR S&P Biotech ETF (XBI) and Dimensional International Core Equity Market ETF (DFAI). 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.

	XBI	DFAI	Difference
Sharpe ratio: Return per unit of total volatility	2.45	1.77	+0.69
Sortino ratio: Return per unit of downside risk	3.29	2.48	+0.81
Omega ratio: Gain probability vs. loss probability	1.39	1.32	+0.07
Calmar ratio: Return relative to maximum drawdown	6.59	2.35	+4.25
Martin ratio: Return relative to average drawdown	19.47	9.14	+10.34

XBI vs. DFAI - Sharpe Ratio Comparison

The current XBI Sharpe Ratio is 2.45, which is higher than the DFAI Sharpe Ratio of 1.77. The chart below compares the historical Sharpe Ratios of XBI and DFAI, 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

XBI vs. DFAI - Drawdown Comparison

The maximum XBI drawdown since its inception was -63.89%, which is greater than DFAI's maximum drawdown of -27.44%. Use the drawdown chart below to compare losses from any high point for XBI and DFAI.

Drawdown Indicators

	XBI	DFAI	Difference
Max Drawdown Largest peak-to-trough decline	-63.89%	-27.44%	-36.45%
Max Drawdown (1Y) Largest decline over 1 year	-9.72%	-10.95%	+1.23%
Max Drawdown (3Y) Largest decline over 3 years	-32.99%	-13.25%	-19.74%
Max Drawdown (5Y) Largest decline over 5 years	-54.71%	-27.44%	-27.27%
Max Drawdown (10Y) Largest decline over 10 years	-63.89%	—	—
Current Drawdown Current decline from peak	-21.16%	-0.35%	-20.81%
Average Drawdown Average peak-to-trough decline	-20.93%	-5.10%	-15.83%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.29%	2.81%	+0.48%

Volatility

XBI vs. DFAI - Volatility Comparison

SPDR S&P Biotech ETF (XBI) has a higher volatility of 10.55% compared to Dimensional International Core Equity Market ETF (DFAI) at 5.12%. This indicates that XBI's price experiences larger fluctuations and is considered to be riskier than DFAI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XBI	DFAI	Difference
Volatility (1M) Calculated over the trailing 1-month period	10.55%	5.12%	+5.43%
Volatility (6M) Calculated over the trailing 6-month period	20.83%	12.28%	+8.55%
Volatility (1Y) Calculated over the trailing 1-year period	26.18%	14.58%	+11.60%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	32.22%	16.01%	+16.21%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	32.03%	15.74%	+16.29%

XBI vs. DFAI - Expense Ratio Comparison

XBI has a 0.35% expense ratio, which is higher than DFAI's 0.18% expense ratio.

Dividends

XBI vs. DFAI - Dividend Comparison

XBI's dividend yield for the trailing twelve months is around 0.32%, less than DFAI's 2.23% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DFAI Dimensional International Core Equity Market ETF	2.23%	2.45%	2.72%	2.64%	2.72%	2.06%	0.09%	0.00%	0.00%	0.00%	0.00%	0.00%
XBI SPDR S&P Biotech ETF	0.32%	0.37%	0.15%	0.02%	0.00%	0.04%	0.20%	0.00%	0.28%	0.24%	0.26%	0.61%

Frequently Asked Questions

Can I hold both XBI and DFAI in my portfolio?

XBI and DFAI have a correlation of 0.51, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, XBI or DFAI?

XBI has higher volatility (10.55%) compared to DFAI (5.12%). In terms of maximum drawdown, XBI dropped -63.89% vs DFAI's -27.44%.

Which ETF is better, XBI or DFAI?

On 5-year performance, DFAI leads with 9.68% vs 0.52% for XBI. On fees, DFAI is cheaper at 0.18% per year. On volatility, DFAI has been the lower-risk option at 5.12%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XBI or DFAI?

Over the 5-year period, DFAI has performed better with a 9.68% return vs 0.52%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XBI or DFAI?

DFAI is cheaper with a 0.18% expense ratio, compared with 0.35% for XBI.

Which ETF pays a higher dividend yield, XBI or DFAI?

DFAI has the higher dividend yield at 2.23%, compared with 0.32% for XBI.

What is the main difference between XBI and DFAI?

XBI is categorized as Health & Biotech Equities, while DFAI is Foreign Large Cap Equities. They also come from different issuers: State Street and Dimensional. Their fees differ too: 0.35% for XBI and 0.18% for DFAI.

Which has better risk-adjusted returns?

XBI currently has the higher Sharpe Ratio (2.45 vs 1.77), 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.