XME vs. SHLD

Last updated Jun 16, 2026

XME (SPDR S&P Metals & Mining ETF) and SHLD (Global X Defense Tech ETF) are both exchange-traded funds - XME is a Materials fund tracking the S&P Metals & Mining Select Industry Index, while SHLD is a Aerospace & Defense fund tracking the Global X Defense Tech Index. Both are passively managed. Over the past year, XME returned 85.37% vs 7.35% for SHLD. At a 0.44 correlation, their price movements are largely independent. XME charges 0.35%/yr vs 0.50%/yr for SHLD.

Performance

XME vs. SHLD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR S&P Metals & Mining ETF (XME) and Global X Defense Tech ETF (SHLD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XME achieves a 16.50% return, which is significantly higher than SHLD's -2.33% return.

XME

• 1D: 0.16%
• 1M: 4.36%
• YTD: 16.50%
• 6M: 19.83%
• 1Y: 85.37%
• 3Y*: 35.28%
• 5Y*: 22.93%
• 10Y*: 19.14%

SHLD

• 1D: -0.85%
• 1M: 1.51%
• YTD: -2.33%
• 6M: -1.40%
• 1Y: 7.35%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

XME vs. SHLD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
XME SPDR S&P Metals & Mining ETF	16.50%	83.47%	-4.54%	16.22%
SHLD Global X Defense Tech ETF	-2.33%	74.16%	35.03%	12.89%

Correlation

The correlation between XME and SHLD is 0.46, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.46
Correlation (All Time) Calculated using the full available price history since Sep 13, 2023	0.44

XME vs. SHLD - Sectors Allocation Comparison

Sectors	XME	SHLD
Basic Materials	74.9%	-
Energy	23.8%	-
Technology	2.2%	12.2%
Consumer Defensive	0.8%	-
Industrials	0.4%	87.8%
Communication Services	-	-
Consumer Cyclical	-	-
Financial Services	-	-
Healthcare	-	-
Real Estate	-	-
Utilities	-	-

Return for Risk

XME vs. SHLD — Risk / Return Rank

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

XME

XME Risk / Return Rank: 72
XME Sharpe Ratio Rank: 83
XME Sortino Ratio Rank: 70
XME Omega Ratio Rank: 69
XME Calmar Ratio Rank: 80
XME Martin Ratio Rank: 59

SHLD

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

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.

XME vs. SHLD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR S&P Metals & Mining ETF (XME) and Global X Defense Tech ETF (SHLD). 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.

	XME	SHLD	Difference
Sharpe ratio: Return per unit of total volatility	2.38	0.30	+2.08
Sortino ratio: Return per unit of downside risk	2.84	0.61	+2.23
Omega ratio: Gain probability vs. loss probability	1.37	1.07	+0.30
Calmar ratio: Return relative to maximum drawdown	3.80	0.37	+3.43
Martin ratio: Return relative to average drawdown	9.44	0.90	+8.55

XME vs. SHLD - Sharpe Ratio Comparison

The current XME Sharpe Ratio is 2.38, which is higher than the SHLD Sharpe Ratio of 0.30. The chart below compares the historical Sharpe Ratios of XME and SHLD, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

XME vs. SHLD - Drawdown Comparison

The maximum XME drawdown since its inception was -85.89%, which is greater than SHLD's maximum drawdown of -20.10%. Use the drawdown chart below to compare losses from any high point for XME and SHLD.

Drawdown Indicators

	XME	SHLD	Difference
Max Drawdown Largest peak-to-trough decline	-85.89%	-20.10%	-65.79%
Max Drawdown (1Y) Largest decline over 1 year	-22.60%	-20.10%	-2.50%
Max Drawdown (3Y) Largest decline over 3 years	-30.47%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-37.27%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-61.69%	—	—
Current Drawdown Current decline from peak	-9.18%	-18.89%	+9.71%
Average Drawdown Average peak-to-trough decline	-44.08%	-3.37%	-40.71%
Ulcer Index Depth and duration of drawdowns from previous peaks	9.07%	8.21%	+0.86%

Volatility

XME vs. SHLD - Volatility Comparison

SPDR S&P Metals & Mining ETF (XME) has a higher volatility of 15.14% compared to Global X Defense Tech ETF (SHLD) at 9.07%. This indicates that XME's price experiences larger fluctuations and is considered to be riskier than SHLD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XME	SHLD	Difference
Volatility (1M) Calculated over the trailing 1-month period	15.14%	9.07%	+6.07%
Volatility (6M) Calculated over the trailing 6-month period	28.15%	19.95%	+8.20%
Volatility (1Y) Calculated over the trailing 1-year period	36.17%	24.49%	+11.68%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	32.83%	21.28%	+11.55%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	32.93%	21.28%	+11.65%

XME vs. SHLD - Expense Ratio Comparison

XME has a 0.35% expense ratio, which is lower than SHLD's 0.50% expense ratio.

Dividends

XME vs. SHLD - Dividend Comparison

XME's dividend yield for the trailing twelve months is around 0.32%, less than SHLD's 0.56% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SHLD Global X Defense Tech ETF	0.56%	0.55%	0.53%	0.26%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
XME SPDR S&P Metals & Mining ETF	0.32%	0.38%	0.65%	1.00%	1.64%	0.70%	0.99%	2.43%	2.23%	1.15%	1.02%	2.61%

Frequently Asked Questions

Can I hold both XME and SHLD in my portfolio?

XME and SHLD have a correlation of 0.46, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, XME or SHLD?

XME has higher volatility (15.14%) compared to SHLD (9.07%). In terms of maximum drawdown, XME dropped -85.89% vs SHLD's -20.10%.

Which ETF is better, XME or SHLD?

On 1-year performance, XME leads with 85.37% vs 7.35% for SHLD. On fees, XME is cheaper at 0.35% per year. On volatility, SHLD has been the lower-risk option at 9.07%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XME or SHLD?

Over the 1-year period, XME has performed better with a 85.37% return vs 7.35%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XME or SHLD?

XME is cheaper with a 0.35% expense ratio, compared with 0.50% for SHLD.

Which ETF pays a higher dividend yield, XME or SHLD?

SHLD has the higher dividend yield at 0.56%, compared with 0.32% for XME.

What is the main difference between XME and SHLD?

XME is categorized as Materials, while SHLD is Aerospace & Defense. XME tracks S&P Metals & Mining Select Industry Index, while SHLD tracks Global X Defense Tech Index. They also come from different issuers: State Street and Global X. Their fees differ too: 0.35% for XME and 0.50% for SHLD.

Which has better risk-adjusted returns?

XME currently has the higher Sharpe Ratio (2.38 vs 0.30), 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.