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XLC vs. IGM
Performance
Return for Risk
Drawdowns
Volatility
Dividends

XLC vs. IGM

Last updated Jun 16, 2026

XLC (Communication Services Select Sector SPDR Fund) and IGM (iShares Expanded Tech Sector ETF) are both exchange-traded funds - XLC is a Communications Equities fund tracking the S&P Communication Services Select Sector Index, while IGM is a Technology Equities fund tracking the S&P North American Expanded Technology Sector Index. Both are passively managed. Over the past 5 years, XLC returned 8.31%/yr vs 20.96%/yr for IGM. Their correlation of 0.81 suggests significant overlap in exposure. XLC charges 0.13%/yr vs 0.39%/yr for IGM.

Performance

XLC vs. IGM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Communication Services Select Sector SPDR Fund (XLC) and iShares Expanded Tech Sector ETF (IGM). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, XLC achieves a -4.39% return, which is significantly lower than IGM's 27.92% return.

XLC

1D
0.48%
1M
-3.35%
YTD
-4.39%
6M
-3.14%
1Y
10.72%
3Y*
21.42%
5Y*
8.31%
10Y*
—

IGM

1D
3.64%
1M
7.10%
YTD
27.92%
6M
29.29%
1Y
56.16%
3Y*
36.48%
5Y*
20.96%
10Y*
25.12%
*Multi-year figures are annualized to reflect compound growth (CAGR)

XLC vs. IGM - Yearly Performance Comparison

2026 (YTD)20252024202320222021202020192018
XLC
Communication Services Select Sector SPDR Fund		-4.39%23.08%34.71%52.82%-37.63%15.96%26.90%31.05%-16.45%
IGM
iShares Expanded Tech Sector ETF		27.92%26.76%36.99%60.68%-35.83%25.72%45.11%41.81%-14.16%

Correlation

The correlation between XLC and IGM is 0.48, which is low. Their price movements are largely independent, making them effective diversification partners.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.48

Correlation (3Y)
Calculated over the trailing 3-year period

0.67

Correlation (5Y)
Calculated over the trailing 5-year period

0.78

Correlation (All Time)
Calculated using the full available price history since Jun 19, 2018

0.81

Over the past year, the correlation between XLC and IGM has dropped to 0.48 - well below their long-term average of 0.81, suggesting their price drivers have been diverging.

XLC vs. IGM - Sectors Allocation Comparison

Sectors
XLC
IGM

Communication Services

95.1%
13.9%

Technology

4.7%
85.2%

Basic Materials

-

-

Consumer Cyclical

-

0.0%

Consumer Defensive

-

-

Energy

-

0.2%

Financial Services

-

0.3%

Healthcare

-

-

Industrials

-

0.3%

Real Estate

-

-

Utilities

-

-

Communication Services

XLC
95.1%
IGM
13.9%

Technology

XLC
4.7%
IGM
85.2%

Basic Materials

XLC

-

IGM

-

Consumer Cyclical

XLC

-

IGM
0.0%

Consumer Defensive

XLC

-

IGM

-

Energy

XLC

-

IGM
0.2%

Financial Services

XLC

-

IGM
0.3%

Healthcare

XLC

-

IGM

-

Industrials

XLC

-

IGM
0.3%

Real Estate

XLC

-

IGM

-

Utilities

XLC

-

IGM

-

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Communication Services Select Sector SPDR Fund

iShares Expanded Tech Sector ETF

Often compared with XLC:
XLC vs. VOXXLC vs. SPYXLC vs. FCOMXLC vs. XLFXLC vs. XTLXLC vs. IXPXLC vs. VOO
Often compared with IGM:
IGM vs. QQQIGM vs. VGTIGM vs. IYWIGM vs. XLKIGM vs. IXNIGM vs. VOOIGM vs. IETC

Return for Risk

XLC vs. IGM — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
XLC
XLC Risk / Return Rank: 2424
Overall Rank
XLC Sharpe Ratio Rank: 2525
Sharpe Ratio Rank
XLC Sortino Ratio Rank: 2525
Sortino Ratio Rank
XLC Omega Ratio Rank: 2323
Omega Ratio Rank
XLC Calmar Ratio Rank: 2424
Calmar Ratio Rank
XLC Martin Ratio Rank: 2626
Martin Ratio Rank
IGM
IGM Risk / Return Rank: 7878
Overall Rank
IGM Sharpe Ratio Rank: 8787
Sharpe Ratio Rank
IGM Sortino Ratio Rank: 7979
Sortino Ratio Rank
IGM Omega Ratio Rank: 8080
Omega Ratio Rank
IGM Calmar Ratio Rank: 7474
Calmar Ratio Rank
IGM Martin Ratio Rank: 7070
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.

XLC vs. IGM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Communication Services Select Sector SPDR Fund (XLC) and iShares Expanded Tech Sector ETF (IGM). 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.

XLCIGMDifference
Sharpe ratioReturn per unit of total volatility
0.81
2.54

-1.73

Sortino ratioReturn per unit of downside risk
1.25
3.13

-1.88

Omega ratioGain probability vs. loss probability

1.14

1.42

-0.28

Calmar ratioReturn relative to maximum drawdown

1.02

3.43

-2.41

Martin ratioReturn relative to average drawdown

3.21

11.62

-8.42

XLC vs. IGM - Sharpe Ratio Comparison

The current XLC Sharpe Ratio is 0.81, which is lower than the IGM Sharpe Ratio of 2.54. The chart below compares the historical Sharpe Ratios of XLC and IGM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Drawdowns

XLC vs. IGM - Drawdown Comparison

The maximum XLC drawdown since its inception was -46.65%, smaller than the maximum IGM drawdown of -65.59%. Use the drawdown chart below to compare losses from any high point for XLC and IGM.

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Drawdown Indicators

XLCIGMDifference

Max Drawdown

Largest peak-to-trough decline

-46.65%

-65.59%

+18.94%

Max Drawdown (1Y)

Largest decline over 1 year

-10.57%

-16.44%

+5.87%

Max Drawdown (3Y)

Largest decline over 3 years

-17.97%

-26.39%

+8.42%

Max Drawdown (5Y)

Largest decline over 5 years

-46.65%

-40.68%

-5.97%

Max Drawdown (10Y)

Largest decline over 10 years

—

-40.68%

—

Current Drawdown

Current decline from peak

-6.27%

-3.41%

-2.86%

Average Drawdown

Average peak-to-trough decline

-10.58%

-15.22%

+4.64%

Ulcer Index

Depth and duration of drawdowns from previous peaks

3.35%

4.85%

-1.50%

Volatility

XLC vs. IGM - Volatility Comparison

The current volatility for Communication Services Select Sector SPDR Fund (XLC) is 3.61%, while iShares Expanded Tech Sector ETF (IGM) has a volatility of 10.54%. This indicates that XLC experiences smaller price fluctuations and is considered to be less risky than IGM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

XLCIGMDifference

Volatility (1M)

Calculated over the trailing 1-month period

3.61%

10.54%

-6.93%

Volatility (6M)

Calculated over the trailing 6-month period

9.66%

18.42%

-8.76%

Volatility (1Y)

Calculated over the trailing 1-year period

13.25%

22.24%

-8.99%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

20.68%

25.97%

-5.29%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

22.17%

24.70%

-2.53%

XLC vs. IGM - Expense Ratio Comparison

XLC has a 0.13% expense ratio, which is lower than IGM's 0.39% expense ratio.

Dividends

XLC vs. IGM - Dividend Comparison

XLC's dividend yield for the trailing twelve months is around 1.24%, more than IGM's 0.17% yield.

PositionTTM20252024202320222021202020192018201720162015
IGM
iShares Expanded Tech Sector ETF		0.17%0.17%0.22%0.33%0.66%0.16%0.32%0.50%0.57%0.57%0.90%0.79%
XLC
Communication Services Select Sector SPDR Fund		1.24%1.13%0.99%0.82%1.10%0.74%0.68%0.82%0.64%0.00%0.00%0.00%

Frequently Asked Questions

XLC and IGM have a correlation of 0.48, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

IGM has higher volatility (10.54%) compared to XLC (3.61%). In terms of maximum drawdown, XLC dropped -46.65% vs IGM's -65.59%.

On 5-year performance, IGM leads with 20.96% vs 8.31% for XLC. On fees, XLC is cheaper at 0.13% per year. On volatility, XLC has been the lower-risk option at 3.61%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 5-year period, IGM has performed better with a 20.96% return vs 8.31%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

XLC is cheaper with a 0.13% expense ratio, compared with 0.39% for IGM.

XLC has the higher dividend yield at 1.24%, compared with 0.17% for IGM.

XLC is categorized as Communications Equities, while IGM is Technology Equities. XLC tracks S&P Communication Services Select Sector Index, while IGM tracks S&P North American Expanded Technology Sector Index. They also come from different issuers: State Street and iShares. Their fees differ too: 0.13% for XLC and 0.39% for IGM.

IGM currently has the higher Sharpe Ratio (2.54 vs 0.81), 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.

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