XLF vs. VTV

Last updated Jun 9, 2026

XLF (State Street Financial Select Sector SPDR ETF) and VTV (Vanguard Value ETF) are both exchange-traded funds - XLF is a Financials Equities fund tracking the Financial Select Sector Index, while VTV is a Large Cap Value Equities fund tracking the CRSP US Large Cap Value Index. Both are passively managed. Over the past 10 years, XLF returned 12.79%/yr vs 12.42%/yr for VTV. Their correlation of 0.88 suggests significant overlap in exposure. XLF charges 0.08%/yr vs 0.04%/yr for VTV.

Performance

XLF vs. VTV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in State Street Financial Select Sector SPDR ETF (XLF) and Vanguard Value ETF (VTV). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XLF achieves a -4.62% return, which is significantly lower than VTV's 11.91% return. Both investments have delivered pretty close results over the past 10 years, with XLF having a 12.79% annualized return and VTV not far behind at 12.42%.

XLF

• 1D: -0.63%
• 1M: 1.42%
• YTD: -4.62%
• 6M: -1.98%
• 1Y: 2.91%
• 3Y*: 18.06%
• 5Y*: 8.47%
• 10Y*: 12.79%

VTV

• 1D: 0.25%
• 1M: 2.67%
• YTD: 11.91%
• 6M: 13.41%
• 1Y: 25.49%
• 3Y*: 17.72%
• 5Y*: 11.30%
• 10Y*: 12.42%

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

XLF vs. VTV - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
XLF State Street Financial Select Sector SPDR ETF	-4.62%	14.90%	30.56%	12.03%	-10.59%	34.80%	-1.74%	31.88%	-13.06%	22.00%
VTV Vanguard Value ETF	11.91%	15.27%	15.95%	9.32%	-2.09%	26.53%	2.33%	25.66%	-5.47%	17.15%

Correlation

The correlation between XLF and VTV is 0.73, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.73
Correlation (3Y) Calculated over the trailing 3-year period	0.82
Correlation (5Y) Calculated over the trailing 5-year period	0.87
Correlation (10Y) Calculated over the trailing 10-year period	0.87
Correlation (All Time) Calculated using the full available price history since Feb 2, 2004	0.88

The correlation between XLF and VTV shifts across timeframes, from 0.73 (1 year) to 0.88 (all time), reflecting how their relationship changes across market environments.

XLF vs. VTV - Sectors Allocation Comparison

Sectors	XLF	VTV
Financial Services	98.0%	22.3%
Technology	1.8%	13.4%
Industrials	0.2%	14.0%
Basic Materials	-	3.1%
Communication Services	-	3.3%
Consumer Cyclical	-	4.0%
Consumer Defensive	-	9.4%
Energy	-	8.1%
Healthcare	-	14.5%
Real Estate	-	2.8%
Utilities	-	5.2%

Return for Risk

XLF vs. VTV — Risk / Return Rank

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

XLF

XLF Risk / Return Rank: 12
XLF Sharpe Ratio Rank: 12
XLF Sortino Ratio Rank: 12
XLF Omega Ratio Rank: 12
XLF Calmar Ratio Rank: 12
XLF Martin Ratio Rank: 12

VTV

VTV Risk / Return Rank: 84
VTV Sharpe Ratio Rank: 85
VTV Sortino Ratio Rank: 87
VTV Omega Ratio Rank: 83
VTV Calmar Ratio Rank: 83
VTV Martin Ratio Rank: 83

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. VTV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for State Street Financial Select Sector SPDR ETF (XLF) and Vanguard Value ETF (VTV). 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	VTV	Difference
Sharpe ratio: Return per unit of total volatility	0.20	2.52	-2.32
Sortino ratio: Return per unit of downside risk	0.37	3.58	-3.21
Omega ratio: Gain probability vs. loss probability	1.05	1.45	-0.41
Calmar ratio: Return relative to maximum drawdown	0.20	4.03	-3.83
Martin ratio: Return relative to average drawdown	0.51	15.20	-14.69
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. VTV - Sharpe Ratio Comparison

The current XLF Sharpe Ratio is 0.20, which is lower than the VTV Sharpe Ratio of 2.52. The chart below compares the historical Sharpe Ratios of XLF and VTV, 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

	XLF	VTV	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.20	2.52	-2.32
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.46	0.82	-0.36
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.58	0.75	-0.17
Sharpe Ratio (All Time) Calculated using the full available price history	0.21	0.51	-0.31

Drawdowns

XLF vs. VTV - Drawdown Comparison

The maximum XLF drawdown since its inception was -82.69%, which is greater than VTV's maximum drawdown of -59.27%. Use the drawdown chart below to compare losses from any high point for XLF and VTV.

Drawdown Indicators

	XLF	VTV	Difference
Max Drawdown Largest peak-to-trough decline	-82.69%	-59.27%	-23.42%
Max Drawdown (1Y) Largest decline over 1 year	-14.79%	-6.35%	-8.44%
Max Drawdown (3Y) Largest decline over 3 years	-15.54%	-14.52%	-1.02%
Max Drawdown (5Y) Largest decline over 5 years	-25.81%	-17.04%	-8.77%
Max Drawdown (10Y) Largest decline over 10 years	-42.86%	-36.78%	-6.08%
Current Drawdown Current decline from peak	-7.38%	-1.11%	-6.27%
Average Drawdown Average peak-to-trough decline	-20.02%	-7.87%	-12.15%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.71%	1.68%	+4.03%

Volatility

XLF vs. VTV - Volatility Comparison

State Street Financial Select Sector SPDR ETF (XLF) has a higher volatility of 4.20% compared to Vanguard Value ETF (VTV) at 2.65%. This indicates that XLF's price experiences larger fluctuations and is considered to be riskier than VTV based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XLF	VTV	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.20%	2.65%	+1.55%
Volatility (6M) Calculated over the trailing 6-month period	11.18%	7.67%	+3.51%
Volatility (1Y) Calculated over the trailing 1-year period	14.61%	10.18%	+4.43%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.66%	13.89%	+4.77%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.18%	16.68%	+5.50%

XLF vs. VTV - Expense Ratio Comparison

XLF has a 0.08% expense ratio, which is higher than VTV's 0.04% 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%.

Dividends

XLF vs. VTV - Dividend Comparison

XLF's dividend yield for the trailing twelve months is around 1.52%, less than VTV's 1.87% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VTV Vanguard Value ETF	1.87%	2.05%	2.31%	2.46%	2.52%	2.15%	2.56%	2.50%	2.73%	2.29%	2.44%	2.60%
XLF State Street Financial Select Sector SPDR ETF	1.52%	1.31%	1.42%	1.71%	2.04%	1.63%	2.03%	1.87%	2.08%	1.48%	21.10%	1.95%

Frequently Asked Questions

Can I hold both XLF and VTV in my portfolio?

XLF and VTV have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, XLF or VTV?

XLF has higher volatility (4.20%) compared to VTV (2.65%). In terms of maximum drawdown, XLF dropped -82.69% vs VTV's -59.27%.

Which ETF is better, XLF or VTV?

On 10-year performance, XLF leads with 12.79% vs 12.42% for VTV. On fees, VTV is cheaper at 0.04% per year. On volatility, VTV has been the lower-risk option at 2.65%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XLF or VTV?

Over the 10-year period, XLF has performed better with a 12.79% return vs 12.42%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XLF or VTV?

VTV is cheaper with a 0.04% expense ratio, compared with 0.08% for XLF.

Which ETF pays a higher dividend yield, XLF or VTV?

VTV has the higher dividend yield at 1.87%, compared with 1.52% for XLF.

What is the main difference between XLF and VTV?

XLF is categorized as Financials Equities, while VTV is Large Cap Value Equities. XLF tracks Financial Select Sector Index, while VTV tracks CRSP US Large Cap Value Index. They also come from different issuers: State Street and Vanguard. Their fees differ too: 0.08% for XLF and 0.04% for VTV.

Which has better risk-adjusted returns?

VTV currently has the higher Sharpe Ratio (2.52 vs 0.20), 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.