XHB vs. SPYG

Last updated Jun 5, 2026

XHB (SPDR S&P Homebuilders ETF) and SPYG (State Street SPDR Portfolio S&P 500 Growth ETF) are both exchange-traded funds - XHB is a Building & Construction fund tracking the S&P Homebuilders Select Industry Index, while SPYG is a S&P 500 fund tracking the S&P 500 Growth Index. Both are passively managed. Over the past 10 years, XHB returned 12.79%/yr vs 18.16%/yr for SPYG. A 0.66 correlation means they provide meaningful diversification when combined. XHB charges 0.35%/yr vs 0.04%/yr for SPYG.

Performance

XHB vs. SPYG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR S&P Homebuilders ETF (XHB) and State Street SPDR Portfolio S&P 500 Growth ETF (SPYG). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XHB achieves a 1.87% return, which is significantly lower than SPYG's 13.73% return. Over the past 10 years, XHB has underperformed SPYG with an annualized return of 12.79%, while SPYG has yielded a comparatively higher 18.16% annualized return.

XHB

• 1D: 0.80%
• 1M: 1.86%
• YTD: 1.87%
• 6M: -2.42%
• 1Y: 9.74%
• 3Y*: 14.15%
• 5Y*: 8.17%
• 10Y*: 12.79%

SPYG

• 1D: -0.02%
• 1M: 6.54%
• YTD: 13.73%
• 6M: 13.08%
• 1Y: 33.66%
• 3Y*: 28.20%
• 5Y*: 16.07%
• 10Y*: 18.16%

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

XHB vs. SPYG - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
XHB SPDR S&P Homebuilders ETF	1.87%	-0.69%	9.87%	60.10%	-28.93%	49.70%	27.97%	41.30%	-25.73%	31.80%
SPYG State Street SPDR Portfolio S&P 500 Growth ETF	13.73%	22.09%	35.99%	30.02%	-29.41%	32.01%	33.46%	30.84%	-0.12%	27.24%

Correlation

The correlation between XHB and SPYG is 0.30, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.30
Correlation (3Y) Calculated over the trailing 3-year period	0.44
Correlation (5Y) Calculated over the trailing 5-year period	0.58
Correlation (10Y) Calculated over the trailing 10-year period	0.59
Correlation (All Time) Calculated using the full available price history since Feb 7, 2006	0.66

Over the past year, the correlation between XHB and SPYG has dropped to 0.30 - well below their long-term average of 0.66, suggesting their price drivers have been diverging.

XHB vs. SPYG - Sectors Allocation Comparison

Sectors	XHB	SPYG
Consumer Cyclical	60.8%	8.9%
Industrials	38.1%	5.0%
Real Estate	1.1%	0.6%
Basic Materials	-	0.3%
Communication Services	-	16.8%
Consumer Defensive	-	1.0%
Energy	-	0.1%
Financial Services	-	8.5%
Healthcare	-	5.8%
Technology	-	51.9%
Utilities	-	1.2%

Return for Risk

XHB vs. SPYG — Risk / Return Rank

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

XHB

XHB Risk / Return Rank: 15
XHB Sharpe Ratio Rank: 15
XHB Sortino Ratio Rank: 17
XHB Omega Ratio Rank: 15
XHB Calmar Ratio Rank: 15
XHB Martin Ratio Rank: 14

SPYG

SPYG Risk / Return Rank: 60
SPYG Sharpe Ratio Rank: 65
SPYG Sortino Ratio Rank: 63
SPYG Omega Ratio Rank: 61
SPYG Calmar Ratio Rank: 51
SPYG Martin Ratio Rank: 58

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.

XHB vs. SPYG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR S&P Homebuilders ETF (XHB) and State Street SPDR Portfolio S&P 500 Growth ETF (SPYG). 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.

	XHB	SPYG	Difference
Sharpe ratio: Return per unit of total volatility	0.35	2.11	-1.75
Sortino ratio: Return per unit of downside risk	0.76	2.88	-2.12
Omega ratio: Gain probability vs. loss probability	1.08	1.37	-0.28
Calmar ratio: Return relative to maximum drawdown	0.45	2.46	-2.01
Martin ratio: Return relative to average drawdown	0.95	10.17	-9.22
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XHB vs. SPYG - Sharpe Ratio Comparison

The current XHB Sharpe Ratio is 0.35, which is lower than the SPYG Sharpe Ratio of 2.11. The chart below compares the historical Sharpe Ratios of XHB and SPYG, 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

	XHB	SPYG	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.35	2.11	-1.75
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.30	0.76	-0.47
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.47	0.88	-0.41
Sharpe Ratio (All Time) Calculated using the full available price history	0.16	0.35	-0.19

Drawdowns

XHB vs. SPYG - Drawdown Comparison

The maximum XHB drawdown since its inception was -81.61%, which is greater than SPYG's maximum drawdown of -67.63%. Use the drawdown chart below to compare losses from any high point for XHB and SPYG.

Drawdown Indicators

	XHB	SPYG	Difference
Max Drawdown Largest peak-to-trough decline	-81.61%	-67.63%	-13.98%
Max Drawdown (1Y) Largest decline over 1 year	-21.71%	-13.76%	-7.95%
Max Drawdown (3Y) Largest decline over 3 years	-30.53%	-22.14%	-8.39%
Max Drawdown (5Y) Largest decline over 5 years	-39.46%	-32.67%	-6.79%
Max Drawdown (10Y) Largest decline over 10 years	-49.57%	-32.67%	-16.90%
Current Drawdown Current decline from peak	-15.65%	-1.15%	-14.50%
Average Drawdown Average peak-to-trough decline	-27.60%	-24.32%	-3.28%
Ulcer Index Depth and duration of drawdowns from previous peaks	10.32%	3.32%	+7.00%

Volatility

XHB vs. SPYG - Volatility Comparison

SPDR S&P Homebuilders ETF (XHB) has a higher volatility of 8.36% compared to State Street SPDR Portfolio S&P 500 Growth ETF (SPYG) at 4.34%. This indicates that XHB's price experiences larger fluctuations and is considered to be riskier than SPYG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XHB	SPYG	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.36%	4.34%	+4.02%
Volatility (6M) Calculated over the trailing 6-month period	20.01%	12.46%	+7.55%
Volatility (1Y) Calculated over the trailing 1-year period	27.71%	16.06%	+11.65%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	27.64%	21.16%	+6.48%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	27.41%	20.64%	+6.77%

XHB vs. SPYG - Expense Ratio Comparison

XHB has a 0.35% expense ratio, which is higher than SPYG's 0.04% expense ratio.

Dividends

XHB vs. SPYG - Dividend Comparison

XHB's dividend yield for the trailing twelve months is around 0.61%, more than SPYG's 0.47% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SPYG State Street SPDR Portfolio S&P 500 Growth ETF	0.47%	0.52%	0.60%	1.15%	1.03%	0.62%	0.90%	1.37%	1.51%	1.41%	1.55%	1.57%
XHB SPDR S&P Homebuilders ETF	0.61%	0.78%	0.59%	0.77%	1.06%	0.51%	0.73%	0.89%	1.25%	0.72%	0.67%	0.50%

Frequently Asked Questions

Can I hold both XHB and SPYG in my portfolio?

XHB and SPYG have a correlation of 0.30, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, XHB or SPYG?

XHB has higher volatility (8.36%) compared to SPYG (4.34%). In terms of maximum drawdown, XHB dropped -81.61% vs SPYG's -67.63%.

Which ETF is better, XHB or SPYG?

On 10-year performance, SPYG leads with 18.16% vs 12.79% for XHB. On fees, SPYG is cheaper at 0.04% per year. On volatility, SPYG has been the lower-risk option at 4.34%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XHB or SPYG?

Over the 10-year period, SPYG has performed better with a 18.16% return vs 12.79%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XHB or SPYG?

SPYG is cheaper with a 0.04% expense ratio, compared with 0.35% for XHB.

Which ETF pays a higher dividend yield, XHB or SPYG?

XHB has the higher dividend yield at 0.61%, compared with 0.47% for SPYG.

What is the main difference between XHB and SPYG?

XHB is categorized as Building & Construction, while SPYG is S&P 500. XHB tracks S&P Homebuilders Select Industry Index, while SPYG tracks S&P 500 Growth Index. Their fees differ too: 0.35% for XHB and 0.04% for SPYG.

Which has better risk-adjusted returns?

SPYG currently has the higher Sharpe Ratio (2.11 vs 0.35), 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.