XLE vs. RAAX
XLE (State Street Energy Select Sector SPDR ETF) and RAAX (VanEck Inflation Allocation ETF) are both exchange-traded funds - XLE is a Energy Equities fund tracking the Energy Select Sector Index, while RAAX is a Diversified Portfolio fund actively managed by VanEck. XLE is passively managed, while RAAX is actively managed. Over the past 5 years, XLE returned 20.12%/yr vs 13.17%/yr for RAAX. A 0.62 correlation means they provide meaningful diversification when combined. XLE charges 0.08%/yr vs 0.78%/yr for RAAX.
Performance
XLE vs. RAAX - Performance Comparison
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Returns By Period
In the year-to-date period, XLE achieves a 29.56% return, which is significantly higher than RAAX's 17.64% return.
XLE
- 1D
- 0.75%
- 1M
- -0.90%
- YTD
- 29.56%
- 6M
- 28.37%
- 1Y
- 34.84%
- 3Y*
- 16.18%
- 5Y*
- 20.12%
- 10Y*
- 9.91%
RAAX
- 1D
- 2.26%
- 1M
- -3.39%
- YTD
- 17.64%
- 6M
- 17.56%
- 1Y
- 32.08%
- 3Y*
- 21.35%
- 5Y*
- 13.17%
- 10Y*
- —
XLE vs. RAAX - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | |
|---|---|---|---|---|---|---|---|---|---|
XLE State Street Energy Select Sector SPDR ETF | 29.56% | 7.88% | 5.56% | -0.63% | 64.32% | 53.28% | -32.67% | 11.74% | -13.29% |
RAAX VanEck Inflation Allocation ETF | 17.64% | 26.74% | 12.50% | 6.71% | 1.51% | 21.56% | -8.27% | 6.14% | -2.41% |
Correlation
The correlation between XLE and RAAX is 0.40, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.40 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.55 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.67 |
Correlation (All Time) Calculated using the full available price history since Apr 10, 2018 | 0.62 |
Over the past year, the correlation between XLE and RAAX has dropped to 0.40 - well below their long-term average of 0.62, suggesting their price drivers have been diverging.
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Return for Risk
XLE vs. RAAX — Risk / Return Rank
XLE
RAAX
XLE vs. RAAX - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for State Street Energy Select Sector SPDR ETF (XLE) and VanEck Inflation Allocation ETF (RAAX). 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.
| XLE | RAAX | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.55 | ||
| Sortino ratioReturn per unit of downside risk | -0.70 | ||
| Omega ratioGain probability vs. loss probability | 1.30 | 1.43 | -0.14 |
| Calmar ratioReturn relative to maximum drawdown | 3.10 | 4.68 | -1.58 |
| Martin ratioReturn relative to average drawdown | 8.63 | 16.90 | -8.27 |
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Drawdowns
XLE vs. RAAX - Drawdown Comparison
The maximum XLE drawdown since its inception was -71.26%, which is greater than RAAX's maximum drawdown of -33.91%. Use the drawdown chart below to compare losses from any high point for XLE and RAAX.
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Drawdown Indicators
| XLE | RAAX | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -71.26% | -33.91% | -37.35% |
Max Drawdown (1Y)Largest decline over 1 year | -12.05% | -7.17% | -4.88% |
Max Drawdown (3Y)Largest decline over 3 years | -20.14% | -11.59% | -8.55% |
Max Drawdown (5Y)Largest decline over 5 years | -26.04% | -23.55% | -2.49% |
Max Drawdown (10Y)Largest decline over 10 years | -66.81% | — | — |
Current DrawdownCurrent decline from peak | -8.01% | -3.77% | -4.24% |
Average DrawdownAverage peak-to-trough decline | -17.97% | -6.77% | -11.20% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 4.32% | 1.98% | +2.34% |
Volatility
XLE vs. RAAX - Volatility Comparison
State Street Energy Select Sector SPDR ETF (XLE) has a higher volatility of 7.26% compared to VanEck Inflation Allocation ETF (RAAX) at 4.67%. This indicates that XLE's price experiences larger fluctuations and is considered to be riskier than RAAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| XLE | RAAX | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 7.26% | 4.67% | +2.59% |
Volatility (6M)Calculated over the trailing 6-month period | 16.79% | 12.21% | +4.58% |
Volatility (1Y)Calculated over the trailing 1-year period | 20.57% | 14.18% | +6.39% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 26.05% | 15.70% | +10.35% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 29.58% | 15.79% | +13.79% |
XLE vs. RAAX - Expense Ratio Comparison
XLE has a 0.08% expense ratio, which is lower than RAAX's 0.78% expense ratio.
Dividends
XLE vs. RAAX - Dividend Comparison
XLE's dividend yield for the trailing twelve months is around 2.59%, more than RAAX's 1.99% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
RAAX VanEck Inflation Allocation ETF | 1.99% | 2.34% | 1.91% | 3.66% | 1.53% | 8.72% | 6.27% | 2.37% | 0.56% | 0.00% | 0.00% | 0.00% |
XLE State Street Energy Select Sector SPDR ETF | 2.59% | 3.28% | 3.36% | 3.55% | 3.68% | 4.21% | 5.62% | 6.72% | 3.54% | 3.03% | 2.26% | 3.39% |
Frequently Asked Questions
XLE and RAAX have a correlation of 0.40, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
XLE has higher volatility (7.26%) compared to RAAX (4.67%). In terms of maximum drawdown, XLE dropped -71.26% vs RAAX's -33.91%.
On 5-year performance, XLE leads with 20.12% vs 13.17% for RAAX. On fees, XLE is cheaper at 0.08% per year. On volatility, RAAX has been the lower-risk option at 4.67%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 5-year period, XLE has performed better with a 20.12% return vs 13.17%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
XLE is cheaper with a 0.08% expense ratio, compared with 0.78% for RAAX.
XLE has the higher dividend yield at 2.59%, compared with 1.99% for RAAX.
XLE is categorized as Energy Equities, while RAAX is Diversified Portfolio. They also come from different issuers: State Street and VanEck. Their fees differ too: 0.08% for XLE and 0.78% for RAAX.
RAAX currently has the higher Sharpe Ratio (2.37 vs 1.82), 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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