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XLB vs. XLY
Performance
Return for Risk
Dividends
Drawdowns
Volatility

XLB vs. XLY

Last updated Apr 2, 2026

Compare and contrast key facts about Materials Select Sector SPDR ETF (XLB) and Consumer Discretionary Select Sector SPDR Fund (XLY).

XLB and XLY are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. XLB is a passively managed fund by State Street that tracks the performance of the Materials Select Sector Index. It was launched on Dec 16, 1998. XLY is a passively managed fund by State Street that tracks the performance of the Consumer Discretionary Select Sector Index. It was launched on Dec 16, 1998. Both XLB and XLY are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.

Performance

XLB vs. XLY - Performance Comparison

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

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XLB vs. XLY - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
XLB
Materials Select Sector SPDR ETF		11.76%9.94%0.15%12.46%-12.30%27.44%20.46%24.13%-14.88%24.01%
XLY
Consumer Discretionary Select Sector SPDR Fund		-7.86%7.37%26.51%39.64%-36.27%27.93%29.63%28.39%1.58%22.82%

Returns By Period

In the year-to-date period, XLB achieves a 11.76% return, which is significantly higher than XLY's -7.86% return. Over the past 10 years, XLB has underperformed XLY with an annualized return of 10.55%, while XLY has yielded a comparatively higher 11.88% annualized return.

XLB

1D
0.98%
1M
-4.82%
YTD
11.76%
6M
14.90%
1Y
19.23%
3Y*
9.89%
5Y*
7.00%
10Y*
10.55%

XLY

1D
0.75%
1M
-4.68%
YTD
-7.86%
6M
-8.57%
1Y
10.93%
3Y*
14.60%
5Y*
6.19%
10Y*
11.88%
*Multi-year figures are annualized to reflect compound growth (CAGR)

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

Materials Select Sector SPDR ETF

Consumer Discretionary Select Sector SPDR Fund

Often compared with XLB:
XLB vs. REMXXLB vs. VAWXLB vs. XLEXLB vs. SPYXLB vs. FMATXLB vs. XLKXLB vs. GUNR
Often compared with XLY:
XLY vs. XLPXLY vs. SPYXLY vs. XRTXLY vs. FDISXLY vs. ^GSPCXLY vs. QQQXLY vs. SMH

XLB vs. XLY - Expense Ratio Comparison

Both XLB and XLY have an expense ratio of 0.13%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

XLB
Materials Select Sector SPDR ETF
XLY
Consumer Discretionary Select Sector SPDR Fund

Return for Risk

XLB vs. XLY — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
XLB
XLB Risk / Return Rank: 4848
Overall Rank
XLB Sharpe Ratio Rank: 4949
Sharpe Ratio Rank
XLB Sortino Ratio Rank: 5151
Sortino Ratio Rank
XLB Omega Ratio Rank: 4545
Omega Ratio Rank
XLB Calmar Ratio Rank: 5050
Calmar Ratio Rank
XLB Martin Ratio Rank: 4747
Martin Ratio Rank
XLY
XLY Risk / Return Rank: 2828
Overall Rank
XLY Sharpe Ratio Rank: 2525
Sharpe Ratio Rank
XLY Sortino Ratio Rank: 2727
Sortino Ratio Rank
XLY Omega Ratio Rank: 2525
Omega Ratio Rank
XLY Calmar Ratio Rank: 3131
Calmar Ratio Rank
XLY Martin Ratio Rank: 3030
Martin Ratio Rank
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. XLY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Materials Select Sector SPDR ETF (XLB) and Consumer Discretionary Select Sector SPDR Fund (XLY). 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.

XLBXLYDifference

Sharpe ratio

Return per unit of total volatility

0.92

0.46

+0.46

Sortino ratio

Return per unit of downside risk

1.42

0.85

+0.57

Omega ratio

Gain probability vs. loss probability

1.18

1.11

+0.08

Calmar ratio

Return relative to maximum drawdown

1.34

0.81

+0.54

Martin ratio

Return relative to average drawdown

4.67

2.66

+2.01

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. XLY - Sharpe Ratio Comparison

The current XLB Sharpe Ratio is 0.92, which is higher than the XLY Sharpe Ratio of 0.46. The chart below compares the historical Sharpe Ratios of XLB and XLY, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

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Sharpe Ratios by Period

XLBXLYDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

0.92

0.46

+0.46

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.37

0.26

+0.11

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.51

0.54

-0.03

Sharpe Ratio (All Time)

Calculated using the full available price history

0.36

0.42

-0.06

Correlation

The correlation between XLB and XLY is 0.65, which is considered to be moderate. This suggests that the two assets have some degree of positive relationship in their price movements. Moderate correlation can be acceptable for portfolio diversification, offering a balance between risk and potential returns.

Dividends

XLB vs. XLY - Dividend Comparison

XLB's dividend yield for the trailing twelve months is around 1.73%, more than XLY's 0.81% yield.

TTM20252024202320222021202020192018201720162015
XLB
Materials Select Sector SPDR ETF		1.73%1.92%1.92%2.00%2.26%1.62%1.72%1.98%2.20%1.66%1.95%2.24%
XLY
Consumer Discretionary Select Sector SPDR Fund		0.81%0.79%0.72%0.78%1.00%0.53%0.82%1.28%1.34%1.20%1.71%1.43%

Drawdowns

XLB vs. XLY - Drawdown Comparison

The maximum XLB drawdown since its inception was -59.83%, roughly equal to the maximum XLY drawdown of -59.05%. Use the drawdown chart below to compare losses from any high point for XLB and XLY.

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Drawdown Indicators

XLBXLYDifference

Max Drawdown

Largest peak-to-trough decline

-59.83%

-59.05%

-0.78%

Max Drawdown (1Y)

Largest decline over 1 year

-14.64%

-14.98%

+0.34%

Max Drawdown (5Y)

Largest decline over 5 years

-24.72%

-39.67%

+14.95%

Max Drawdown (10Y)

Largest decline over 10 years

-37.27%

-39.67%

+2.40%

Current Drawdown

Current decline from peak

-5.47%

-11.64%

+6.17%

Average Drawdown

Average peak-to-trough decline

-10.88%

-9.58%

-1.30%

Ulcer Index

Depth and duration of drawdowns from previous peaks

4.21%

4.54%

-0.33%

Volatility

XLB vs. XLY - Volatility Comparison

The current volatility for Materials Select Sector SPDR ETF (XLB) is 5.95%, while Consumer Discretionary Select Sector SPDR Fund (XLY) has a volatility of 7.36%. This indicates that XLB experiences smaller price fluctuations and is considered to be less risky than XLY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

XLBXLYDifference

Volatility (1M)

Calculated over the trailing 1-month period

5.95%

7.36%

-1.41%

Volatility (6M)

Calculated over the trailing 6-month period

12.56%

13.63%

-1.07%

Volatility (1Y)

Calculated over the trailing 1-year period

20.94%

23.65%

-2.71%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

18.92%

23.73%

-4.81%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

20.61%

21.97%

-1.36%