XLC: Communication Services Select Sector SPDR Fund returns, drawdowns and risk
Funds on a single sector of the US market: financials, energy, health care, industrials and more.
Data updated October 2026
XLC · US exchange · USDCategory: US sector ETFsData from June 2020
From June 2020 to October 2026 XLC returned 12.7% a year on average with dividends reinvested, in US dollars: $10,000 invested at the start grew to $21,414.
Its deepest fall was 46.7%, from September 2021 to November 2022, and it took about 33 months to get back to the previous high. Annual volatility was 20.6%; at the last close it was 7.4% below its high.
Against SPY (SPDR S&P 500 ETF Trust), over the 76 months both have data, the correlation of monthly returns was 0.84: they usually moved together. Beta was 1.00. In months when SPY rose, XLC moved 101% as much on average; in months when SPY fell, 124% as much.
Key figures
- Annual return (CAGR)
- +12.7%
- 1-year return
- −4.0%
- 5 years, a year
- +7.2%
- 10 years, a year
- —
- Annual volatility
- 20.6%
- Maximum drawdown
- −46.7%
- Sharpe ratio
- 0.55
- Worst year
- 2022: −37.6%
Trailing returns
| Period | XLC | SPY |
|---|---|---|
| 1 year | −4.0% | +16.6% |
| 3 years, a year | +19.7% | +23.1% |
| 5 years, a year | +7.2% | +12.7% |
To the last close of October 2026. Periods longer than a year are annualised.
Growth of $10,000: XLC vs SPY
Month-end values from July 2020, the first month both funds have data.
XLC drawdowns
Percentage below the previous high, weekly.
Returns by calendar year
| Year | XLC | SPY |
|---|---|---|
| 2026(partial) | −5.5% | +13.3% |
| 2025 | +23.1% | +17.7% |
| 2024 | +34.7% | +24.9% |
| 2023 | +52.8% | +26.2% |
| 2022 | −37.6% | −18.2% |
| 2021 | +16.0% | +28.7% |
| 2020(partial) | +23.7% | — |
How the figures are calculated
Total return in the fund’s trading currency, from end-of-day prices with dividends reinvested on the ex-date. The fund’s own ongoing charges are already reflected in its price; trading costs, taxes and currency conversion are not included. Past returns do not predict future returns.
Sharpe ratio uses the return of short-term government bills in the same currency as the risk-free rate. The growth chart uses month-end values; drawdowns and volatility use daily closes.
Questions
What is the average annual return of XLC?
From June 2020 to October 2026 XLC returned 12.7% a year on average (CAGR) with dividends reinvested, in USD. Over the last 5 years: +7.2% a year. Over the last 12 months: −4.0%.
What was the worst drawdown of XLC?
46.7%, from September 2021 to November 2022; it took about 33 months from the previous high to get back to it.
How volatile is XLC?
Annual volatility was 20.6% over the period. Its worst month was −14.1% and 62% of months were positive. Worst calendar year: 2022 (−37.6%).
How closely does XLC follow SPY?
Over 76 months the correlation of monthly returns was 0.84, so they usually moved together, with a beta of 1.00.
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Other US sector ETFs
- All US sector ETFsReturns and risk side by side
- XLF — Financial Select Sector SPDR FundCAGR +16.3%
- XLV — Health Care Select Sector SPDR FundCAGR +11.0%
- XLI — Industrial Select Sector SPDR FundCAGR +10.3%
- XLP — Consumer Staples Select Sector SPDR FundCAGR +9.2%
- VHT — Vanguard Health Care ETFCAGR +10.3%
- VFH — Vanguard Financials ETFCAGR +16.5%
- VDE — Vanguard Energy ETFCAGR +26.4%
- IBB — iShares Biotechnology ETFCAGR +11.2%
- XBI — SPDR S&P Biotech ETFCAGR +6.2%
- KRE — SPDR S&P Regional Banking ETFCAGR +4.4%
- KBE — SPDR S&P Bank ETFCAGR +3.0%
Source: MarketStack end-of-day prices, total return with dividends reinvested. Figures are historical and descriptive; they are not forecasts and not investment advice. MEDGE Capital does not recommend buying or selling any instrument. Risk disclaimer.