XLF vs. VOO

Last updated Apr 1, 2026

Compare and contrast key facts about Financial Select Sector SPDR Fund (XLF) and Vanguard S&P 500 ETF (VOO).

XLF and VOO are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. XLF is a passively managed fund by State Street that tracks the performance of the Financial Select Sector Index. It was launched on Dec 16, 1998. VOO is a passively managed fund by Vanguard that tracks the performance of the S&P 500 Index. It was launched on Sep 7, 2010. Both XLF and VOO 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

XLF vs. VOO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Financial Select Sector SPDR Fund (XLF) and Vanguard S&P 500 ETF (VOO). The values are adjusted to include any dividend payments, if applicable.

XLF vs. VOO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
XLF Financial Select Sector SPDR Fund	-9.40%	14.90%	30.56%	12.03%	-10.59%	34.80%	-1.74%	31.88%	-13.06%	22.00%
VOO Vanguard S&P 500 ETF	-4.42%	17.82%	24.98%	26.32%	-18.17%	28.79%	18.32%	31.37%	-4.50%	21.77%

Returns By Period

In the year-to-date period, XLF achieves a -9.40% return, which is significantly lower than VOO's -4.42% return. Over the past 10 years, XLF has underperformed VOO with an annualized return of 12.44%, while VOO has yielded a comparatively higher 14.05% annualized return.

XLF

• 1D: 2.09%
• 1M: -3.51%
• YTD: -9.40%
• 6M: -7.56%
• 1Y: 0.65%
• 3Y*: 17.25%
• 5Y*: 9.34%
• 10Y*: 12.44%

VOO

• 1D: 2.86%
• 1M: -5.01%
• YTD: -4.42%
• 6M: -1.84%
• 1Y: 17.67%
• 3Y*: 18.27%
• 5Y*: 11.75%
• 10Y*: 14.05%

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

XLF vs. VOO - Expense Ratio Comparison

XLF has a 0.13% expense ratio, which is higher than VOO's 0.03% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

XLF

Financial Select Sector SPDR Fund

VOO

Vanguard S&P 500 ETF

Return for Risk

XLF vs. VOO — Risk / Return Rank

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

XLF

XLF Risk / Return Rank: 14
XLF Sharpe Ratio Rank: 13
XLF Sortino Ratio Rank: 13
XLF Omega Ratio Rank: 13
XLF Calmar Ratio Rank: 15
XLF Martin Ratio Rank: 15

VOO

VOO Risk / Return Rank: 65
VOO Sharpe Ratio Rank: 59
VOO Sortino Ratio Rank: 62
VOO Omega Ratio Rank: 66
VOO Calmar Ratio Rank: 65
VOO Martin Ratio Rank: 75

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.

XLF vs. VOO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Financial Select Sector SPDR Fund (XLF) and Vanguard S&P 500 ETF (VOO). 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.

	XLF	VOO	Difference
Sharpe ratio Return per unit of total volatility	0.03	0.98	-0.95
Sortino ratio Return per unit of downside risk	0.18	1.50	-1.32
Omega ratio Gain probability vs. loss probability	1.02	1.23	-0.20
Calmar ratio Return relative to maximum drawdown	0.13	1.53	-1.41
Martin ratio Return relative to average drawdown	0.38	7.29	-6.91
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XLF vs. VOO - Sharpe Ratio Comparison

The current XLF Sharpe Ratio is 0.03, which is lower than the VOO Sharpe Ratio of 0.98. The chart below compares the historical Sharpe Ratios of XLF and VOO, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	XLF	VOO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.03	0.98	-0.95
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.50	0.70	-0.20
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.56	0.78	-0.22
Sharpe Ratio (All Time) Calculated using the full available price history	0.20	0.83	-0.63

Correlation

The correlation between XLF and VOO is 0.79, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.

Dividends

XLF vs. VOO - Dividend Comparison

XLF's dividend yield for the trailing twelve months is around 1.60%, more than VOO's 1.19% yield.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
XLF Financial Select Sector SPDR Fund	1.60%	1.31%	1.42%	1.71%	2.04%	1.63%	2.03%	1.87%	2.08%	1.48%	21.10%	1.95%
VOO Vanguard S&P 500 ETF	1.19%	1.13%	1.24%	1.46%	1.69%	1.25%	1.54%	1.88%	2.06%	1.78%	2.02%	2.10%

Drawdowns

XLF vs. VOO - Drawdown Comparison

The maximum XLF drawdown since its inception was -82.69%, which is greater than VOO's maximum drawdown of -33.99%. Use the drawdown chart below to compare losses from any high point for XLF and VOO.

Drawdown Indicators

	XLF	VOO	Difference
Max Drawdown Largest peak-to-trough decline	-82.69%	-33.99%	-48.70%
Max Drawdown (1Y) Largest decline over 1 year	-14.79%	-11.98%	-2.81%
Max Drawdown (5Y) Largest decline over 5 years	-25.81%	-24.52%	-1.29%
Max Drawdown (10Y) Largest decline over 10 years	-42.86%	-33.99%	-8.87%
Current Drawdown Current decline from peak	-12.01%	-6.29%	-5.72%
Average Drawdown Average peak-to-trough decline	-20.10%	-3.72%	-16.38%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.90%	2.52%	+2.38%

Volatility

XLF vs. VOO - Volatility Comparison

The current volatility for Financial Select Sector SPDR Fund (XLF) is 4.75%, while Vanguard S&P 500 ETF (VOO) has a volatility of 5.29%. This indicates that XLF experiences smaller price fluctuations and is considered to be less risky than VOO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XLF	VOO	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.75%	5.29%	-0.54%
Volatility (6M) Calculated over the trailing 6-month period	11.45%	9.44%	+2.01%
Volatility (1Y) Calculated over the trailing 1-year period	19.29%	18.10%	+1.19%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.69%	16.82%	+1.87%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.19%	17.99%	+4.20%