GD vs XLI: Correlation
Measured on weekly returns over the past three years, General Dynamics (GD) and Industrial Select Sector SPDR Fund (XLI) carry a correlation of 0.49, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are GD and XLI?
On 3 years of weekly data the GD/XLI correlation comes out at 0.49, moderate. The past 12 months show a weaker link (0.33) than the 3-year average (0.49). The 5-year figure is 0.56, and annualized covariance runs at 161.6 %².
By 3-year correlation, XLI places #10 of the 30 assets tracked against GD. Twelve-month performance is nearly a tie, at +18.8% for GD and +18.3% for XLI. Across three years, the rolling one-year figure varied moderately, from 0.28 to 0.66.
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.
GD vs XLI: side by side
| GD (General Dynamics) | XLI (Industrial Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +18.8% | +18.3% |
| 5-year return | +111.9% | +84.0% |
| Volatility (ann.) | 21.1% | 15.7% |
| Beta vs S&P 500 | 0.52 | 0.89 |
| Max drawdown (3Y) | -22.5% | -18.5% |
| Market cap | $102.8B | – |
| P/E (trailing) | 23.3 | – |
| Dividend yield | 1.62% | 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 | GD | XLI |
|---|---|---|
| 2022 | +21.7% | -5.6% |
| 2023 | +7.1% | +18.1% |
| 2024 | +3.5% | +17.3% |
| 2025 | +30.4% | +19.3% |
| 2026 | +14.4% | +15.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
A structural note: 1.71% of XLI is GD itself, so the fund partly moves with the stock by construction.
Are GD and XLI good diversifiers for each other?
Reasonably. At 0.49, GD and XLI keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
FAQ
What is the correlation between GD and XLI?
As of 2026-08-27, the correlation of weekly returns between GD and XLI is 0.49 over 3 years, 0.33 over 1 year and 0.56 over 5 years.
Is XLI a good diversifier for GD?
Reasonably. At 0.49, GD and XLI keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
What does a correlation of 0.49 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/gd-vs-xli.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/gd-vs-xli/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: GD correlations · XLI correlations
