FERG vs XLI: Correlation
Ferguson Enterprises (FERG) and Industrial Select Sector SPDR Fund (XLI) show a moderate relationship: their 3-year correlation of weekly returns is 0.57.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are FERG and XLI?
Across a 3-year window, the weekly returns of FERG and XLI correlate at 0.57, moderate. The relationship has been stable: the 1-year correlation (0.50) sits close to the 3-year figure. Stretching to 5 years gives 0.59, with an annualized covariance of 270.4 %².
Among the 35 assets we track against FERG, XLI ranks #16 by 3-year correlation. The last year tells two different stories: XLI led by 17.2 percentage points, +1.1% for FERG against +18.3% for XLI. Across three years, the rolling one-year figure varied moderately, from 0.45 to 0.73. Note the risk asymmetry: FERG runs 1.9 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
FERG vs XLI: side by side
| FERG (Ferguson Enterprises) | XLI (Industrial Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +1.1% | +18.3% |
| 5-year return | +82.2% | +84.0% |
| Volatility (ann.) | 30.0% | 15.7% |
| Beta vs S&P 500 | 0.99 | 0.89 |
| Max drawdown (3Y) | -32.9% | -18.5% |
| Market cap | $45.1B | – |
| P/E (trailing) | 23.0 | – |
| Dividend yield | 1.80% | 1.15% |
| Expense ratio | – | 0.08% |
| Assets under management | – | $32.9B |
| Sector / category | Industrials | Sector ETF |
XLI is an Industrials fund from State Street Investment Management: $32.9B under management, 83 holdings, a 0.08% expense ratio, a 1.15% trailing dividend yield.
Year-by-year returns
| Year | FERG | XLI |
|---|---|---|
| 2022 | -27.2% | -5.6% |
| 2023 | +55.1% | +18.1% |
| 2024 | -8.6% | +17.3% |
| 2025 | +29.9% | +19.3% |
| 2026 | +6.4% | +15.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
FERG represents 0.81% of XLI's portfolio, so part of any move in XLI is FERG itself, and the correlation between them is partly mechanical.
Are FERG and XLI good diversifiers for each other?
To a limited degree. At 0.57 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between FERG and XLI?
The FERG/XLI correlation stands at 0.57 on a 3-year window (1 year: 0.50, 5 years: 0.59), computed from weekly returns as of 2026-08-27.
Is XLI a good diversifier for FERG?
To a limited degree. At 0.57 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.57 mean?
On the −1 to +1 scale, 0.57 describes how much the two returns move together: +1 is lockstep, 0 is independence, negative values mean opposite directions. It says nothing about which performed better.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/ferg-vs-xli.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/ferg-vs-xli/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: FERG correlations · XLI correlations
