JCI vs XLI: Correlation
Measured on weekly returns over the past three years, Johnson Controls (JCI) and Industrial Select Sector SPDR Fund (XLI) carry a correlation of 0.62, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are JCI and XLI?
Over the past 3 years, JCI and XLI moved with a correlation of 0.62, which is strong. Little has changed lately, as the 1-year reading of 0.53 lands near the 3-year figure. Over 5 years the correlation is 0.68, and the annualized covariance of weekly returns is 275.1 %².
XLI is one of the assets that tracks JCI most closely: it ranks #1 out of the 32 assets we track against JCI. On 12-month performance JCI holds a 12.6-point edge, +30.9% against +18.3%. The rolling one-year correlation moved between 0.41 and 0.80 over the past three years, a moderate range. One caveat on sizing: JCI is 1.8 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
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.
JCI vs XLI: side by side
| JCI (Johnson Controls) | XLI (Industrial Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +30.9% | +18.3% |
| 5-year return | +108.2% | +84.0% |
| Volatility (ann.) | 28.1% | 15.7% |
| Beta vs S&P 500 | 0.98 | 0.89 |
| Max drawdown (3Y) | -21.1% | -18.5% |
| Market cap | $86.1B | – |
| P/E (trailing) | 40.1 | – |
| Dividend yield | 1.11% | 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 | JCI | XLI |
|---|---|---|
| 2022 | -19.3% | -5.6% |
| 2023 | -7.6% | +18.1% |
| 2024 | +39.8% | +17.3% |
| 2025 | +53.0% | +19.3% |
| 2026 | +19.5% | +15.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
JCI represents 1.55% of XLI's portfolio, so part of any move in XLI is JCI itself, and the correlation between them is partly mechanical.
Are JCI and XLI good diversifiers for each other?
To a limited degree. At 0.62 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 JCI and XLI?
As of 2026-08-27, the correlation of weekly returns between JCI and XLI is 0.62 over 3 years, 0.53 over 1 year and 0.68 over 5 years.
Is XLI a good diversifier for JCI?
To a limited degree. At 0.62 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 0.62 mean?
On the −1 to +1 scale, 0.62 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/jci-vs-xli.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/jci-vs-xli/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: JCI correlations · XLI correlations
