UPS vs XLI: Correlation
How closely do United Parcel Service (UPS) and Industrial Select Sector SPDR Fund (XLI) trade together? Their weekly returns over three years give a correlation of 0.50, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are UPS and XLI?
Across a 3-year window, the weekly returns of UPS and XLI correlate at 0.50, moderate. Little has changed lately, as the 1-year reading of 0.50 lands near the 3-year figure. Stretching to 5 years gives 0.58, with an annualized covariance of 230.3 %².
Among the 34 assets we track against UPS, XLI ranks #19 by 3-year correlation. The trailing year gives UPS the advantage: +28.2% versus +18.3%, a 9.9-point spread. The relationship is regime-dependent: the rolling one-year correlation swung between 0.18 and 0.75 over the past three years, so this pair behaves very differently depending on the market environment. Risk is not evenly split, since UPS carries 1.9 times the volatility of the other side.
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.
UPS vs XLI: side by side
| UPS (United Parcel Service) | XLI (Industrial Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +28.2% | +18.3% |
| 5-year return | -31.0% | +84.0% |
| Volatility (ann.) | 29.4% | 15.7% |
| Beta vs S&P 500 | 0.81 | 0.89 |
| Max drawdown (3Y) | -46.5% | -18.5% |
| Market cap | $89.9B | – |
| P/E (trailing) | 19.6 | – |
| Dividend yield | 6.21% | 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 | UPS | XLI |
|---|---|---|
| 2022 | -16.2% | -5.6% |
| 2023 | -6.0% | +18.1% |
| 2024 | -15.9% | +17.3% |
| 2025 | -15.9% | +19.3% |
| 2026 | +11.6% | +15.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
A structural note: 1.39% of XLI is UPS itself, so the fund partly moves with the stock by construction.
Are UPS and XLI good diversifiers for each other?
Only partially. A correlation of 0.50 means UPS 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 UPS and XLI?
The UPS/XLI correlation stands at 0.50 on a 3-year window (1 year: 0.50, 5 years: 0.58), computed from weekly returns as of 2026-08-27.
Is XLI a good diversifier for UPS?
Only partially. A correlation of 0.50 means UPS and XLI share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.50 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/ups-vs-xli.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/ups-vs-xli/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: UPS correlations · XLI correlations
