XLB vs. UYM

Last updated Jun 4, 2026

XLB (Materials Select Sector SPDR ETF) and UYM (ProShares Ultra Basic Materials) are both exchange-traded funds - XLB is a Materials fund tracking the Materials Select Sector Index, while UYM is a Leveraged Equities fund tracking the Dow Jones U.S. Basic Materials Index (200%). Both are passively managed. Over the past 10 years, XLB returned 10.23%/yr vs 11.91%/yr for UYM. With a 0.97 correlation, they move nearly in lockstep. XLB charges 0.13%/yr vs 0.95%/yr for UYM.

Performance

XLB vs. UYM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Materials Select Sector SPDR ETF (XLB) and ProShares Ultra Basic Materials (UYM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XLB achieves a 14.35% return, which is significantly lower than UYM's 25.72% return. Over the past 10 years, XLB has underperformed UYM with an annualized return of 10.23%, while UYM has yielded a comparatively higher 11.91% annualized return.

XLB

• 1D: 0.21%
• 1M: 1.93%
• YTD: 14.35%
• 6M: 17.15%
• 1Y: 19.99%
• 3Y*: 11.71%
• 5Y*: 5.35%
• 10Y*: 10.23%

UYM

• 1D: 0.51%
• 1M: 3.42%
• YTD: 25.72%
• 6M: 31.43%
• 1Y: 32.36%
• 3Y*: 13.51%
• 5Y*: 3.33%
• 10Y*: 11.91%

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

XLB vs. UYM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
XLB Materials Select Sector SPDR ETF	14.35%	9.94%	0.15%	12.46%	-12.30%	27.44%	20.46%	24.13%	-14.88%	24.01%
UYM ProShares Ultra Basic Materials	25.72%	9.46%	-8.00%	17.47%	-23.10%	54.58%	16.56%	35.09%	-35.68%	51.51%

Correlation

The correlation between XLB and UYM is 0.99 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.99
Correlation (3Y) Calculated over the trailing 3-year period	0.99
Correlation (5Y) Calculated over the trailing 5-year period	0.99
Correlation (10Y) Calculated over the trailing 10-year period	0.98
Correlation (All Time) Calculated using the full available price history since Feb 2, 2007	0.97

The correlation between XLB and UYM has been stable across timeframes, ranging from 0.97 to 0.99 - a consistent structural relationship.

XLB vs. UYM - Sectors Allocation Comparison

Sectors	XLB	UYM
Basic Materials	87.6%	87.6%
Consumer Cyclical	12.4%	12.4%
Industrials	1.5%	1.1%
Communication Services	-	-
Consumer Defensive	-	-
Energy	-	-
Financial Services	-	-
Healthcare	-	-
Real Estate	-	-
Technology	-	-
Utilities	-	-

Return for Risk

XLB vs. UYM — Risk / Return Rank

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

XLB

XLB Risk / Return Rank: 32
XLB Sharpe Ratio Rank: 32
XLB Sortino Ratio Rank: 32
XLB Omega Ratio Rank: 30
XLB Calmar Ratio Rank: 32
XLB Martin Ratio Rank: 33

UYM

UYM Risk / Return Rank: 27
UYM Sharpe Ratio Rank: 27
UYM Sortino Ratio Rank: 27
UYM Omega Ratio Rank: 26
UYM Calmar Ratio Rank: 28
UYM Martin Ratio Rank: 27

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.

XLB vs. UYM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Materials Select Sector SPDR ETF (XLB) and ProShares Ultra Basic Materials (UYM). 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.

	XLB	UYM	Difference
Sharpe ratio: Return per unit of total volatility	1.20	0.97	+0.23
Sortino ratio: Return per unit of downside risk	1.76	1.49	+0.27
Omega ratio: Gain probability vs. loss probability	1.21	1.18	+0.03
Calmar ratio: Return relative to maximum drawdown	1.62	1.36	+0.26
Martin ratio: Return relative to average drawdown	5.06	3.71	+1.34
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XLB vs. UYM - Sharpe Ratio Comparison

The current XLB Sharpe Ratio is 1.20, which is comparable to the UYM Sharpe Ratio of 0.97. The chart below compares the historical Sharpe Ratios of XLB and UYM, 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

	XLB	UYM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.20	0.97	+0.23
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.28	0.09	+0.20
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.50	0.28	+0.22
Sharpe Ratio (All Time) Calculated using the full available price history	0.36	0.09	+0.27

Drawdowns

XLB vs. UYM - Drawdown Comparison

The maximum XLB drawdown since its inception was -59.83%, smaller than the maximum UYM drawdown of -92.77%. Use the drawdown chart below to compare losses from any high point for XLB and UYM.

Drawdown Indicators

	XLB	UYM	Difference
Max Drawdown Largest peak-to-trough decline	-59.83%	-92.77%	+32.94%
Max Drawdown (1Y) Largest decline over 1 year	-12.38%	-23.85%	+11.47%
Max Drawdown (3Y) Largest decline over 3 years	-23.17%	-43.88%	+20.71%
Max Drawdown (5Y) Largest decline over 5 years	-24.72%	-48.25%	+23.53%
Max Drawdown (10Y) Largest decline over 10 years	-37.27%	-73.31%	+36.04%
Current Drawdown Current decline from peak	-3.28%	-8.94%	+5.66%
Average Drawdown Average peak-to-trough decline	-10.84%	-42.11%	+31.27%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.96%	8.73%	-4.77%

Volatility

XLB vs. UYM - Volatility Comparison

The current volatility for Materials Select Sector SPDR ETF (XLB) is 5.73%, while ProShares Ultra Basic Materials (UYM) has a volatility of 11.55%. This indicates that XLB experiences smaller price fluctuations and is considered to be less risky than UYM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XLB	UYM	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.73%	11.55%	-5.82%
Volatility (6M) Calculated over the trailing 6-month period	12.85%	25.84%	-12.99%
Volatility (1Y) Calculated over the trailing 1-year period	16.78%	33.71%	-16.93%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.94%	39.26%	-20.32%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.65%	42.76%	-22.11%

XLB vs. UYM - Expense Ratio Comparison

XLB has a 0.13% expense ratio, which is lower than UYM's 0.95% expense ratio.

Dividends

XLB vs. UYM - Dividend Comparison

XLB's dividend yield for the trailing twelve months is around 1.69%, more than UYM's 1.21% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
UYM ProShares Ultra Basic Materials	1.21%	1.47%	0.98%	0.28%	0.88%	0.52%	0.56%	1.24%	0.94%	0.38%	0.55%	0.42%
XLB Materials Select Sector SPDR ETF	1.69%	1.92%	1.92%	2.00%	2.26%	1.62%	1.72%	1.98%	2.20%	1.66%	1.95%	2.24%

Frequently Asked Questions

Can I hold both XLB and UYM in my portfolio?

With a correlation of 0.99, XLB and UYM 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 is riskier, XLB or UYM?

UYM has higher volatility (11.55%) compared to XLB (5.73%). In terms of maximum drawdown, XLB dropped -59.83% vs UYM's -92.77%.

Which ETF is better, XLB or UYM?

On 10-year performance, UYM leads with 11.91% vs 10.23% for XLB. On fees, XLB is cheaper at 0.13% per year. On volatility, XLB has been the lower-risk option at 5.73%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XLB or UYM?

Over the 10-year period, UYM has performed better with a 11.91% return vs 10.23%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XLB or UYM?

XLB is cheaper with a 0.13% expense ratio, compared with 0.95% for UYM.

Which ETF pays a higher dividend yield, XLB or UYM?

XLB has the higher dividend yield at 1.69%, compared with 1.21% for UYM.

What is the main difference between XLB and UYM?

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

Which has better risk-adjusted returns?

XLB currently has the higher Sharpe Ratio (1.20 vs 0.97), 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.