XLE vs. T

Last updated Jun 9, 2026

XLE (State Street Energy Select Sector SPDR ETF) is Energy Equities fund tracking the Energy Select Sector Index, while T (AT&T Inc.) is a stock. Over the past 10 years, XLE returned 10.02%/yr vs 2.86%/yr for T. At a 0.31 correlation, their price movements are largely independent.

Performance

XLE vs. T - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in State Street Energy Select Sector SPDR ETF (XLE) and AT&T Inc. (T). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XLE achieves a 31.32% return, which is significantly higher than T's -7.40% return. Over the past 10 years, XLE has outperformed T with an annualized return of 10.02%, while T has yielded a comparatively lower 2.86% annualized return.

XLE

• 1D: 1.14%
• 1M: 4.72%
• YTD: 31.32%
• 6M: 30.37%
• 1Y: 44.35%
• 3Y*: 16.51%
• 5Y*: 20.33%
• 10Y*: 10.02%

T

• 1D: -1.10%
• 1M: -10.57%
• YTD: -7.40%
• 6M: -7.40%
• 1Y: -16.38%
• 3Y*: 18.39%
• 5Y*: 6.60%
• 10Y*: 2.86%

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

XLE vs. T - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
XLE State Street Energy Select Sector SPDR ETF	31.32%	7.88%	5.56%	-0.63%	64.32%	53.28%	-32.67%	11.74%	-18.22%	-0.89%
T AT&T Inc.	-7.40%	13.97%	44.08%	-2.74%	5.76%	-8.09%	-21.37%	45.55%	-22.25%	-4.01%

Correlation

The correlation between XLE and T is 0.08, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.08
Correlation (3Y) Calculated over the trailing 3-year period	0.14
Correlation (5Y) Calculated over the trailing 5-year period	0.22
Correlation (10Y) Calculated over the trailing 10-year period	0.30
Correlation (All Time) Calculated using the full available price history since Dec 23, 1998	0.31

Over the past year, the correlation between XLE and T has dropped to 0.08 - well below their long-term average of 0.31, suggesting their price drivers have been diverging.

Return for Risk

XLE vs. T — Risk / Return Rank

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

XLE

XLE Risk / Return Rank: 70
XLE Sharpe Ratio Rank: 75
XLE Sortino Ratio Rank: 68
XLE Omega Ratio Rank: 65
XLE Calmar Ratio Rank: 79
XLE Martin Ratio Rank: 64

T

T Risk / Return Rank: 11
T Sharpe Ratio Rank: 11
T Sortino Ratio Rank: 12
T Omega Ratio Rank: 13
T Calmar Ratio Rank: 14
T Martin Ratio Rank: 4

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.

XLE vs. T - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for State Street Energy Select Sector SPDR ETF (XLE) and AT&T Inc. (T). 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.

	XLE	T	Difference
Sharpe ratio: Return per unit of total volatility	2.18	-0.75	+2.93
Sortino ratio: Return per unit of downside risk	2.81	-0.98	+3.79
Omega ratio: Gain probability vs. loss probability	1.35	0.89	+0.46
Calmar ratio: Return relative to maximum drawdown	3.70	-0.75	+4.45
Martin ratio: Return relative to average drawdown	10.59	-1.59	+12.18
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XLE vs. T - Sharpe Ratio Comparison

The current XLE Sharpe Ratio is 2.18, which is higher than the T Sharpe Ratio of -0.75. The chart below compares the historical Sharpe Ratios of XLE and T, 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

	XLE	T	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.18	-0.75	+2.93
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.79	0.28	+0.51
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.34	0.12	+0.22
Sharpe Ratio (All Time) Calculated using the full available price history	0.31	0.38	-0.07

Drawdowns

XLE vs. T - Drawdown Comparison

The maximum XLE drawdown since its inception was -71.26%, which is greater than T's maximum drawdown of -64.15%. Use the drawdown chart below to compare losses from any high point for XLE and T.

Drawdown Indicators

	XLE	T	Difference
Max Drawdown Largest peak-to-trough decline	-71.26%	-64.15%	-7.11%
Max Drawdown (1Y) Largest decline over 1 year	-12.05%	-21.87%	+9.82%
Max Drawdown (3Y) Largest decline over 3 years	-20.14%	-21.87%	+1.73%
Max Drawdown (5Y) Largest decline over 5 years	-26.04%	-32.01%	+5.97%
Max Drawdown (10Y) Largest decline over 10 years	-66.81%	-42.35%	-24.46%
Current Drawdown Current decline from peak	-6.76%	-21.87%	+15.11%
Average Drawdown Average peak-to-trough decline	-17.98%	-15.72%	-2.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.20%	10.34%	-6.14%

Volatility

XLE vs. T - Volatility Comparison

The current volatility for State Street Energy Select Sector SPDR ETF (XLE) is 7.07%, while AT&T Inc. (T) has a volatility of 7.50%. This indicates that XLE experiences smaller price fluctuations and is considered to be less risky than T based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XLE	T	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.07%	7.50%	-0.43%
Volatility (6M) Calculated over the trailing 6-month period	16.58%	17.57%	-0.99%
Volatility (1Y) Calculated over the trailing 1-year period	20.48%	21.98%	-1.50%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	26.03%	23.97%	+2.06%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	29.58%	23.71%	+5.87%

Dividends

XLE vs. T - Dividend Comparison

XLE's dividend yield for the trailing twelve months is around 2.56%, less than T's 4.93% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
T AT&T Inc.	4.93%	4.47%	4.87%	6.62%	6.66%	8.46%	7.23%	5.22%	7.01%	5.04%	4.51%	5.46%
XLE State Street Energy Select Sector SPDR ETF	2.56%	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

Can I hold both XLE and T in my portfolio?

XLE and T have a correlation of 0.08, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, XLE or T?

T has higher volatility (7.50%) compared to XLE (7.07%). In terms of maximum drawdown, XLE dropped -71.26% vs T's -64.15%.

Which has better risk-adjusted returns?

XLE currently has the higher Sharpe Ratio (2.18 vs -0.75), 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.