XHE vs. FMED

Last updated Jun 23, 2026

XHE (SPDR S&P Health Care Equipment ETF) and FMED (Fidelity Disruptive Medicine ETF) are both Health & Biotech Equities funds. XHE is passively managed, while FMED is actively managed. Over the past 3 years, XHE returned -5.83%/yr vs 1.62%/yr for FMED. A 0.78 correlation means they provide meaningful diversification when combined. XHE charges 0.35%/yr vs 0.50%/yr for FMED.

Performance

XHE vs. FMED - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR S&P Health Care Equipment ETF (XHE) and Fidelity Disruptive Medicine ETF (FMED). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XHE achieves a -8.91% return, which is significantly lower than FMED's -3.44% return.

XHE

• 1D: -2.39%
• 1M: -0.92%
• YTD: -8.91%
• 6M: -10.99%
• 1Y: 1.37%
• 3Y*: -5.83%
• 5Y*: -8.97%
• 10Y*: 6.02%

FMED

• 1D: 0.07%
• 1M: 5.53%
• YTD: -3.44%
• 6M: -5.57%
• 1Y: 12.20%
• 3Y*: 1.62%
• 5Y*: —
• 10Y*: —

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

XHE vs. FMED - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
XHE SPDR S&P Health Care Equipment ETF	-8.91%	-0.23%	5.08%	-11.25%
FMED Fidelity Disruptive Medicine ETF	-3.44%	9.69%	2.29%	-3.59%

Correlation

The correlation between XHE and FMED is 0.72, 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	0.72
Correlation (3Y) Calculated over the trailing 3-year period	0.78
Correlation (All Time) Calculated using the full available price history since Jun 12, 2023	0.78

The correlation between XHE and FMED has been stable across timeframes, ranging from 0.72 to 0.78 - a consistent structural relationship.

XHE vs. FMED - Sectors Allocation Comparison

Sectors	XHE	FMED
Healthcare	98.2%	97.6%
Financial Services	1.8%	-
Industrials	1.7%	-
Communication Services	1.4%	-
Basic Materials	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	-
Real Estate	-	-
Technology	-	0.9%
Utilities	-	-

Return for Risk

XHE vs. FMED — Risk / Return Rank

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

XHE

XHE Risk / Return Rank: 9
XHE Sharpe Ratio Rank: 9
XHE Sortino Ratio Rank: 9
XHE Omega Ratio Rank: 9
XHE Calmar Ratio Rank: 9
XHE Martin Ratio Rank: 9

FMED

FMED Risk / Return Rank: 18
FMED Sharpe Ratio Rank: 19
FMED Sortino Ratio Rank: 20
FMED Omega Ratio Rank: 18
FMED Calmar Ratio Rank: 17
FMED Martin Ratio Rank: 15

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.

XHE vs. FMED - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR S&P Health Care Equipment ETF (XHE) and Fidelity Disruptive Medicine ETF (FMED). 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.

	XHE	FMED	Difference
Sharpe ratio: Return per unit of total volatility	0.06	0.64	-0.57
Sortino ratio: Return per unit of downside risk	0.25	1.06	-0.81
Omega ratio: Gain probability vs. loss probability	1.03	1.12	-0.09
Calmar ratio: Return relative to maximum drawdown	0.08	0.67	-0.59
Martin ratio: Return relative to average drawdown	0.16	1.46	-1.30

XHE vs. FMED - Sharpe Ratio Comparison

The current XHE Sharpe Ratio is 0.06, which is lower than the FMED Sharpe Ratio of 0.64. The chart below compares the historical Sharpe Ratios of XHE and FMED, 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

XHE vs. FMED - Drawdown Comparison

The maximum XHE drawdown since its inception was -49.92%, which is greater than FMED's maximum drawdown of -21.84%. Use the drawdown chart below to compare losses from any high point for XHE and FMED.

Drawdown Indicators

	XHE	FMED	Difference
Max Drawdown Largest peak-to-trough decline	-49.92%	-21.84%	-28.08%
Max Drawdown (1Y) Largest decline over 1 year	-18.29%	-18.33%	+0.04%
Max Drawdown (3Y) Largest decline over 3 years	-32.62%	-21.84%	-10.78%
Max Drawdown (5Y) Largest decline over 5 years	-49.92%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-49.92%	—	—
Current Drawdown Current decline from peak	-39.61%	-9.41%	-30.20%
Average Drawdown Average peak-to-trough decline	-13.34%	-7.10%	-6.24%
Ulcer Index Depth and duration of drawdowns from previous peaks	8.42%	8.36%	+0.06%

Volatility

XHE vs. FMED - Volatility Comparison

SPDR S&P Health Care Equipment ETF (XHE) has a higher volatility of 7.40% compared to Fidelity Disruptive Medicine ETF (FMED) at 6.55%. This indicates that XHE's price experiences larger fluctuations and is considered to be riskier than FMED based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XHE	FMED	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.40%	6.55%	+0.85%
Volatility (6M) Calculated over the trailing 6-month period	16.50%	15.01%	+1.49%
Volatility (1Y) Calculated over the trailing 1-year period	22.12%	19.29%	+2.83%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	24.56%	18.54%	+6.02%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.00%	18.54%	+4.46%

XHE vs. FMED - Expense Ratio Comparison

XHE has a 0.35% expense ratio, which is lower than FMED's 0.50% expense ratio.

Dividends

XHE vs. FMED - Dividend Comparison

XHE's dividend yield for the trailing twelve months is around 0.09%, while FMED has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FMED Fidelity Disruptive Medicine ETF	0.00%	0.00%	0.46%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
XHE SPDR S&P Health Care Equipment ETF	0.06%	0.08%	0.04%	0.03%	0.04%	0.00%	0.00%	0.05%	0.09%	0.78%	0.17%	7.22%

Frequently Asked Questions

Can I hold both XHE and FMED in my portfolio?

XHE and FMED have a correlation of 0.72, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, XHE or FMED?

XHE has higher volatility (7.40%) compared to FMED (6.55%). In terms of maximum drawdown, XHE dropped -49.92% vs FMED's -21.84%.

Which ETF is better, XHE or FMED?

On 3-year performance, FMED leads with 1.62% vs -5.83% for XHE. On fees, XHE is cheaper at 0.35% per year. On volatility, FMED has been the lower-risk option at 6.55%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XHE or FMED?

Over the 3-year period, FMED has performed better with a 1.62% return vs -5.83%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XHE or FMED?

XHE is cheaper with a 0.35% expense ratio, compared with 0.50% for FMED.

Which ETF pays a higher dividend yield, XHE or FMED?

XHE has the higher dividend yield at 0.09%, compared with 0.00% for FMED.

What is the main difference between XHE and FMED?

They also come from different issuers: State Street and Fidelity. Their fees differ too: 0.35% for XHE and 0.50% for FMED.

Which has better risk-adjusted returns?

FMED currently has the higher Sharpe Ratio (0.64 vs 0.06), 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.