VLTO vs XLI: Correlation
Veralto (VLTO) and Industrial Select Sector SPDR Fund (XLI) show a moderate relationship: their 3-year correlation of weekly returns is 0.47.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are VLTO and XLI?
On 3 years of weekly data the VLTO/XLI correlation comes out at 0.47, moderate. The past 12 months show a weaker link (0.21) than the 3-year average (0.47). The 5-year figure is n/a, and annualized covariance runs at 157.6 %².
Among the 37 assets we track against VLTO, XLI ranks #18 by 3-year correlation. The last year tells two different stories: XLI led by 26.2 percentage points, -7.9% for VLTO against +18.3% for XLI. This link changes with the market regime, having swung between 0.23 and 0.73 on a rolling one-year basis.
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.
VLTO vs XLI: side by side
| VLTO (Veralto) | XLI (Industrial Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | -7.9% | +18.3% |
| 5-year return | n/a | +84.0% |
| Volatility (ann.) | 21.2% | 15.7% |
| Beta vs S&P 500 | 0.66 | 0.89 |
| Max drawdown (3Y) | -27.1% | -18.5% |
| Market cap | $24.0B | – |
| P/E (trailing) | 24.9 | – |
| Dividend yield | 0.51% | 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 | VLTO | XLI |
|---|---|---|
| 2022 | – | -5.6% |
| 2023 | – | +18.1% |
| 2024 | +24.3% | +17.3% |
| 2025 | -1.6% | +19.3% |
| 2026 | -1.1% | +15.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
Keep in mind that XLI holds VLTO at a 0.43% weight, which makes a slice of this correlation mechanical rather than coincidental.
Are VLTO and XLI good diversifiers for each other?
A fair diversifier. At 0.47, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
FAQ
What is the correlation between VLTO and XLI?
Using weekly returns as of 2026-08-27: 0.47 over 3 years, with 0.21 over the last year and n/a over 5 years.
Is XLI a good diversifier for VLTO?
A fair diversifier. At 0.47, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
What does a correlation of 0.47 mean?
On the −1 to +1 scale, 0.47 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/vlto-vs-xli.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/vlto-vs-xli/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: VLTO correlations · XLI correlations
