SMTK vs XLE: Correlation
How closely do SmartKem, Inc. (SMTK) and Energy Select Sector SPDR Fund (XLE) trade together? Their weekly returns over three years give a correlation of -0.19, which is negative.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are SMTK and XLE?
Over the past 3 years, SMTK and XLE moved with a correlation of -0.19, which is negative, meaning they tend to move in opposite directions. Lately the two have drifted apart, with the 1-year correlation at -0.39 versus -0.19 over 3 years. Over 5 years the correlation is n/a, and the annualized covariance of weekly returns is -735.0 %².
Within SMTK's tracked universe of 15 assets, XLE comes in at #10 by 3-year correlation. The last year tells two different stories: XLE led by 133.1 percentage points, -89.1% for SMTK against +44.0% for XLE. One caveat on sizing: SMTK is 6.7 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.
SMTK vs XLE: side by side
| SMTK (SmartKem, Inc.) | XLE (Energy Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | -89.1% | +44.0% |
| 5-year return | n/a | +206.7% |
| Volatility (ann.) | 155.8% | 23.1% |
| Beta vs S&P 500 | -0.16 | 0.27 |
| Max drawdown (3Y) | -99.2% | -20.1% |
| Market cap | – | – |
| P/E (trailing) | – | – |
| Dividend yield | 0.00% | 2.55% |
| Expense ratio | – | 0.08% |
| Assets under management | – | $39.2B |
| Sector / category | US Listed | Sector ETF |
XLE is an Equity Energy fund from State Street Investment Management: $39.2B under management, 22 holdings, a 0.08% expense ratio, a 2.55% trailing dividend yield.
Year-by-year returns
| Year | SMTK | XLE |
|---|---|---|
| 2022 | – | +64.3% |
| 2023 | – | -0.6% |
| 2024 | – | +5.6% |
| 2025 | -63.3% | +7.9% |
| 2026 | -93.4% | +41.2% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are SMTK and XLE good diversifiers for each other?
By historical standards, yes. A correlation of -0.19 means the two rarely move for the same reasons.
FAQ
What is the correlation between SMTK and XLE?
As of 2026-08-27, the correlation of weekly returns between SMTK and XLE is -0.19 over 3 years, -0.39 over 1 year and n/a over 5 years.
Is XLE a good diversifier for SMTK?
By historical standards, yes. A correlation of -0.19 means the two rarely move for the same reasons.
What does a correlation of -0.19 mean?
A reading of -0.19 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/smtk-vs-xle.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/smtk-vs-xle/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: SMTK correlations · XLE correlations
