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XLV vs. AGG
Performance
Return for Risk
Drawdowns
Volatility
Dividends

XLV vs. AGG

Last updated Jun 9, 2026

XLV (State Street Health Care Select Sector SPDR ETF) and AGG (iShares Core U.S. Aggregate Bond ETF) are both exchange-traded funds - XLV is a Health & Biotech Equities fund tracking the Health Care Select Sector Index, while AGG is a Total Bond Market fund tracking the Bloomberg U.S. Aggregate Bond Index. Both are passively managed. Over the past 10 years, XLV returned 9.65%/yr vs 1.52%/yr for AGG. At a correlation of -0.05, they often move in opposite directions. XLV charges 0.08%/yr vs 0.03%/yr for AGG.

Performance

XLV vs. AGG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in State Street Health Care Select Sector SPDR ETF (XLV) and iShares Core U.S. Aggregate Bond ETF (AGG). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, XLV achieves a -0.98% return, which is significantly lower than AGG's -0.08% return. Over the past 10 years, XLV has outperformed AGG with an annualized return of 9.65%, while AGG has yielded a comparatively lower 1.52% annualized return.

XLV

1D
-0.24%
1M
6.38%
YTD
-0.98%
6M
1.65%
1Y
15.62%
3Y*
7.16%
5Y*
6.05%
10Y*
9.65%

AGG

1D
0.00%
1M
-0.69%
YTD
-0.08%
6M
0.26%
1Y
4.97%
3Y*
3.88%
5Y*
-0.03%
10Y*
1.52%
*Multi-year figures are annualized to reflect compound growth (CAGR)

XLV vs. AGG - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
XLV
State Street Health Care Select Sector SPDR ETF		-0.98%14.50%2.47%2.07%-2.08%26.04%13.30%20.45%6.28%21.77%
AGG
iShares Core U.S. Aggregate Bond ETF		-0.08%7.19%1.31%5.65%-13.02%-1.77%7.48%8.46%0.09%3.55%

Correlation

The correlation between XLV and AGG is 0.31, which is low. Their price movements are largely independent, making them effective diversification partners.

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

0.31

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

0.25

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

0.22

Correlation (10Y)
Calculated over the trailing 10-year period

0.11

Correlation (All Time)
Calculated using the full available price history since Sep 29, 2003

-0.05

The correlation between XLV and AGG shifts across timeframes, from -0.05 (all time) to 0.31 (1 year), reflecting how their relationship changes across market environments.

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

State Street Health Care Select Sector SPDR ETF

iShares Core U.S. Aggregate Bond ETF

Often compared with XLV:
XLV vs. VHTXLV vs. SPYXLV vs. XLFXLV vs. IXJXLV vs. VOOXLV vs. FHLCXLV vs. IHI
Often compared with AGG:
AGG vs. BNDAGG vs. TLTAGG vs. HYGAGG vs. FBNDAGG vs. PIMIXAGG vs. IUSBAGG vs. AGGH

Return for Risk

XLV vs. AGG — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
XLV
XLV Risk / Return Rank: 3232
Overall Rank
XLV Sharpe Ratio Rank: 3232
Sharpe Ratio Rank
XLV Sortino Ratio Rank: 3434
Sortino Ratio Rank
XLV Omega Ratio Rank: 3131
Omega Ratio Rank
XLV Calmar Ratio Rank: 3333
Calmar Ratio Rank
XLV Martin Ratio Rank: 2828
Martin Ratio Rank
AGG
AGG Risk / Return Rank: 4040
Overall Rank
AGG Sharpe Ratio Rank: 4141
Sharpe Ratio Rank
AGG Sortino Ratio Rank: 4242
Sortino Ratio Rank
AGG Omega Ratio Rank: 3939
Omega Ratio Rank
AGG Calmar Ratio Rank: 4040
Calmar Ratio Rank
AGG Martin Ratio Rank: 3838
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.

XLV vs. AGG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for State Street Health Care Select Sector SPDR ETF (XLV) and iShares Core U.S. Aggregate Bond ETF (AGG). 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.

XLVAGGDifference
Sharpe ratioReturn per unit of total volatility
1.05
1.32

-0.27

Sortino ratioReturn per unit of downside risk
1.68
1.94

-0.27

Omega ratioGain probability vs. loss probability

1.19

1.23

-0.04

Calmar ratioReturn relative to maximum drawdown

1.50

1.81

-0.31

Martin ratioReturn relative to average drawdown

3.60

5.44

-1.84

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XLV vs. AGG - Sharpe Ratio Comparison

The current XLV Sharpe Ratio is 1.05, which is comparable to the AGG Sharpe Ratio of 1.32. The chart below compares the historical Sharpe Ratios of XLV and AGG, 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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Sharpe Ratios by Period

XLVAGGDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

1.05

1.32

-0.27

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.41

-0.00

+0.42

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.58

0.28

+0.30

Sharpe Ratio (All Time)

Calculated using the full available price history

0.46

0.59

-0.13

Drawdowns

XLV vs. AGG - Drawdown Comparison

The maximum XLV drawdown since its inception was -39.17%, which is greater than AGG's maximum drawdown of -18.43%. Use the drawdown chart below to compare losses from any high point for XLV and AGG.

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Drawdown Indicators

XLVAGGDifference

Max Drawdown

Largest peak-to-trough decline

-39.17%

-18.43%

-20.74%

Max Drawdown (1Y)

Largest decline over 1 year

-10.47%

-2.76%

-7.71%

Max Drawdown (3Y)

Largest decline over 3 years

-17.11%

-6.11%

-11.00%

Max Drawdown (5Y)

Largest decline over 5 years

-17.11%

-17.82%

+0.71%

Max Drawdown (10Y)

Largest decline over 10 years

-28.40%

-18.43%

-9.97%

Current Drawdown

Current decline from peak

-4.32%

-2.47%

-1.85%

Average Drawdown

Average peak-to-trough decline

-7.12%

-2.71%

-4.41%

Ulcer Index

Depth and duration of drawdowns from previous peaks

4.35%

0.92%

+3.43%

Volatility

XLV vs. AGG - Volatility Comparison

State Street Health Care Select Sector SPDR ETF (XLV) has a higher volatility of 5.02% compared to iShares Core U.S. Aggregate Bond ETF (AGG) at 1.29%. This indicates that XLV's price experiences larger fluctuations and is considered to be riskier than AGG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

XLVAGGDifference

Volatility (1M)

Calculated over the trailing 1-month period

5.02%

1.29%

+3.73%

Volatility (6M)

Calculated over the trailing 6-month period

10.66%

2.77%

+7.89%

Volatility (1Y)

Calculated over the trailing 1-year period

14.99%

3.80%

+11.19%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

14.76%

6.09%

+8.67%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

16.58%

5.41%

+11.17%

XLV vs. AGG - Expense Ratio Comparison

XLV has a 0.08% expense ratio, which is higher than AGG'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%.

Dividends

XLV vs. AGG - Dividend Comparison

XLV's dividend yield for the trailing twelve months is around 1.64%, less than AGG's 4.00% yield.

PositionTTM20252024202320222021202020192018201720162015
AGG
iShares Core U.S. Aggregate Bond ETF		4.00%3.89%3.74%3.13%2.39%1.77%2.14%2.70%2.72%2.32%2.39%2.45%
XLV
State Street Health Care Select Sector SPDR ETF		1.64%1.60%1.67%1.59%1.47%1.33%1.49%2.17%1.57%1.47%1.60%1.43%

Frequently Asked Questions

XLV and AGG have a correlation of 0.31, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

XLV has higher volatility (5.02%) compared to AGG (1.29%). In terms of maximum drawdown, XLV dropped -39.17% vs AGG's -18.43%.

On 10-year performance, XLV leads with 9.65% vs 1.52% for AGG. On fees, AGG is cheaper at 0.03% per year. On volatility, AGG has been the lower-risk option at 1.29%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, XLV has performed better with a 9.65% return vs 1.52%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

AGG is cheaper with a 0.03% expense ratio, compared with 0.08% for XLV.

AGG has the higher dividend yield at 4.00%, compared with 1.64% for XLV.

XLV is categorized as Health & Biotech Equities, while AGG is Total Bond Market. XLV tracks Health Care Select Sector Index, while AGG tracks Bloomberg U.S. Aggregate Bond Index. They also come from different issuers: State Street and iShares. Their fees differ too: 0.08% for XLV and 0.03% for AGG.

AGG currently has the higher Sharpe Ratio (1.32 vs 1.05), 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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