SOXX vs XLI: Correlation & Overlap
iShares Semiconductor ETF (SOXX) and Industrial Select Sector SPDR Fund (XLI) show a strong relationship: their 3-year correlation of weekly returns is 0.65. Looking through to holdings, 0% of the two portfolios is the same by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are SOXX and XLI?
Over the past 3 years, SOXX and XLI moved with a correlation of 0.65, which is strong. Recent behaviour matches the longer record: 0.56 over 1 year against 0.65 over 3. Over 5 years the correlation is 0.66, and the annualized covariance of weekly returns is 357.9 %².
Among the 127 assets we track against SOXX, XLI ranks #64 by 3-year correlation. Their recent paths diverged sharply: over the last 12 months SOXX outperformed by 91.7 percentage points (+110.0% for SOXX against +18.3% for XLI). Across three years, the rolling one-year figure varied moderately, from 0.47 to 0.78. One caveat on sizing: SOXX is 2.2 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.
SOXX vs XLI: side by side
| SOXX (iShares Semiconductor ETF) | XLI (Industrial Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +110.0% | +18.3% |
| 5-year return | +247.5% | +84.0% |
| Volatility (ann.) | 35.2% | 15.7% |
| Beta vs S&P 500 | 1.93 | 0.89 |
| Max drawdown (3Y) | -41.4% | -18.5% |
| Dividend yield | 0.29% | 1.15% |
| Expense ratio | 0.33% | 0.08% |
| Assets under management | $44.7B | $32.9B |
| Sector / category | ETF · Thematic | Sector ETF |
SOXX, iShares's Technology fund, carries $44.7B under management, 30 holdings, a 0.33% expense ratio, a 0.29% trailing dividend yield. 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.
Portfolio overlap between SOXX and XLI
The two portfolios are largely distinct, with 0 holdings in common adding up to 0% of fund weight. Where correlation shows the co-movement, the overlap shows its source.
Largest positions held only by SOXX: NVDA (8.87%), MU (8.64%), AMD (8.33%), AVGO (7.11%), MRVL (5.34%). Only by XLI: CAT (6.68%), GE (6.52%), RTX (5.04%), GEV (4.52%), UNP (3.25%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26.
Year-by-year returns
| Year | SOXX | XLI |
|---|---|---|
| 2022 | -35.1% | -5.6% |
| 2023 | +67.1% | +18.1% |
| 2024 | +12.9% | +17.3% |
| 2025 | +40.7% | +19.3% |
| 2026 | +74.7% | +15.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are SOXX and XLI good diversifiers for each other?
Only partially. A correlation of 0.65 means SOXX and XLI share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between SOXX and XLI?
The SOXX/XLI correlation stands at 0.65 on a 3-year window (1 year: 0.56, 5 years: 0.66), computed from weekly returns as of 2026-08-27.
Is XLI a good diversifier for SOXX?
Only partially. A correlation of 0.65 means SOXX and XLI share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
How much do SOXX and XLI overlap?
0% by weight, across 0 common holdings, based on issuer-disclosed portfolios as of 2026-08-26.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/soxx-vs-xli.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/soxx-vs-xli/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: SOXX correlations · XLI correlations
