GWW vs XLI: Correlation
W. W. Grainger (GWW) and Industrial Select Sector SPDR Fund (XLI) show a strong relationship: their 3-year correlation of weekly returns is 0.62.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are GWW and XLI?
On 3 years of weekly data the GWW/XLI correlation comes out at 0.62, strong. The link has loosened recently: the 1-year correlation (0.40) runs below the 3-year figure (0.62). The 5-year figure is 0.65, and annualized covariance runs at 226.0 %².
Few assets follow GWW as closely as XLI, which ranks #2 of 29 tracked partners. On 12-month performance GWW holds a 12.7-point edge, +31.0% against +18.3%. On a rolling one-year basis the correlation drifted between 0.41 and 0.81, a moderate band.
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.
GWW vs XLI: side by side
| GWW (W. W. Grainger) | XLI (Industrial Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +31.0% | +18.3% |
| 5-year return | +219.4% | +84.0% |
| Volatility (ann.) | 23.3% | 15.7% |
| Beta vs S&P 500 | 0.74 | 0.89 |
| Max drawdown (3Y) | -24.5% | -18.5% |
| Market cap | $62.2B | – |
| P/E (trailing) | 34.0 | – |
| Dividend yield | 0.69% | 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 | GWW | XLI |
|---|---|---|
| 2022 | +8.7% | -5.6% |
| 2023 | +50.5% | +18.1% |
| 2024 | +28.2% | +17.3% |
| 2025 | -3.4% | +19.3% |
| 2026 | +31.7% | +15.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
GWW represents 1.02% of XLI's portfolio, so part of any move in XLI is GWW itself, and the correlation between them is partly mechanical.
Are GWW and XLI good diversifiers for each other?
Somewhat, no more. With 0.62 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between GWW and XLI?
The GWW/XLI correlation stands at 0.62 on a 3-year window (1 year: 0.40, 5 years: 0.65), computed from weekly returns as of 2026-08-27.
Is XLI a good diversifier for GWW?
Somewhat, no more. With 0.62 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.62 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/gww-vs-xli.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/gww-vs-xli/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: GWW correlations · XLI correlations
