ICLN vs XLK: Correlation & Overlap
How closely do iShares Global Clean Energy ETF (ICLN) and Technology Select Sector SPDR Fund (XLK) trade together? Their weekly returns over three years give a correlation of 0.44, which is moderate. The two funds also share 0.1% of their portfolios by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ICLN and XLK?
Across a 3-year window, the weekly returns of ICLN and XLK correlate at 0.44, moderate. Lately the two have moved closer together, with the 1-year correlation at 0.62 versus 0.44 over 3 years. Stretching to 5 years gives 0.49, with an annualized covariance of 255.7 %².
By 3-year correlation, XLK places #44 of the 78 assets tracked against ICLN. The last year tells two different stories: XLK led by 17.8 percentage points, +25.6% for ICLN against +43.4% for XLK. On a rolling one-year basis the correlation drifted between 0.27 and 0.58, 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.
ICLN vs XLK: side by side
| ICLN (iShares Global Clean Energy ETF) | XLK (Technology Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +25.6% | +43.4% |
| 5-year return | -18.4% | +145.2% |
| Volatility (ann.) | 24.0% | 24.0% |
| Beta vs S&P 500 | 0.78 | 1.50 |
| Max drawdown (3Y) | -34.6% | -25.7% |
| Dividend yield | 1.05% | 0.45% |
| Expense ratio | 0.39% | 0.08% |
| Assets under management | $2.3B | $115.4B |
| Sector / category | ETF · Thematic | Sector ETF |
ICLN, iShares's Miscellaneous Sector fund, carries $2.3B under management, 102 holdings, a 0.39% expense ratio, a 1.05% trailing dividend yield. On the fund side, XLK sits in the Technology category at State Street Investment Management, with $115.4B under management, 73 holdings, a 0.08% expense ratio, a 0.45% trailing dividend yield.
Portfolio overlap between ICLN and XLK
The two portfolios are largely distinct, with 1 holdings in common adding up to 0.1% of fund weight. Where correlation shows the co-movement, the overlap shows its source.
| Common holding | Weight in ICLN | Weight in XLK |
|---|---|---|
| FSLR | 7.87% | 0.15% |
Largest positions held only by ICLN: 600900 (7.64%), BE (7.36%), NXT (6.81%), ENPH (4.70%), VWS (4.36%). Only by XLK: NVDA (13.91%), AAPL (12.61%), MSFT (10.10%), AVGO (4.61%), AMD (4.09%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26. Top 1 common positions shown.
Year-by-year returns
| Year | ICLN | XLK |
|---|---|---|
| 2022 | -5.4% | -27.7% |
| 2023 | -20.4% | +56.0% |
| 2024 | -25.7% | +21.6% |
| 2025 | +47.0% | +24.6% |
| 2026 | +8.8% | +31.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ICLN and XLK good diversifiers for each other?
Reasonably. At 0.44, ICLN and XLK keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
FAQ
What is the correlation between ICLN and XLK?
The ICLN/XLK correlation stands at 0.44 on a 3-year window (1 year: 0.62, 5 years: 0.49), computed from weekly returns as of 2026-08-27.
Is XLK a good diversifier for ICLN?
Reasonably. At 0.44, ICLN and XLK keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
How much do ICLN and XLK overlap?
The two funds share 1 holdings amounting to 0.1% of weight, per issuer portfolio files dated 2026-08-26.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/icln-vs-xlk.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/icln-vs-xlk/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: ICLN correlations · XLK correlations
