ETF Versus

SPSM vs XLI

State Street SPDR Portfolio S&P 600 Small Cap ETF vs State Street Industrial Select Sector SPDR ETF

Last updated: 2026-04-10

SPSM SPDR

State Street SPDR Portfolio S&P 600 Small Cap ETF (SPSM) is an exchange-traded fund issued by SPDR that provides exposure to small-cap U.S. equities with higher growth potential and volatility. It charges a very low expense ratio of 0.03%. The fund offers a moderate dividend yield of 1.52%. Launched in 2013, the fund has a 13-year track record.

AUM: $14.6B ER: 0.03% Yield: 1.52% Since: Jul 8, 2013
XLI SPDR

State Street Industrial Select Sector SPDR ETF (XLI) is an exchange-traded fund issued by SPDR that provides exposure to us sector - industrials securities. It charges a low expense ratio of 0.08%. The fund offers a moderate dividend yield of 1.19%. Launched in 1998, the fund has a 28-year track record.

AUM: $29.5B ER: 0.08% Yield: 1.19% Since: Dec 16, 1998

Quick Verdict

SPSM has a slightly lower expense ratio (0.03% vs 0.08%), saving about $99 per $10,000 over 10 years. XLI has edged ahead over the past year (39.4% vs 37.6%).

Key Metrics

Metric SPSM XLI
Expense Ratio 0.03% 0.08%
Dividend Yield 1.5% 1.2%
Fund Family SPDR SPDR
Category US Small Cap US Sector - Industrials

Performance Chart

Indexed to 100 at start (5-year comparison)

75 95 115 135 155 175 2021-04 2022-07 2023-10 2025-01 2026-04
SPSM +18.5%
XLI +70.6%

Performance Comparison

Period SPSM XLI Difference
1 Month +4.27% +1.54% +2.73%
3 Months +2.71% +5.47% -2.76%
6 Months +11.44% +13.63% -2.19%
YTD +7.01% +8.94% -1.93%
1 Year +37.58% +39.36% -1.78%
3 Years +34.97% +73.40% -38.43%
5 Years +18.48% +70.60% -52.12%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period SPSM Fees XLI Fees You Save
$10,000 10 years $60 $159 $99
$10,000 20 years $258 $686 $427
$10,000 30 years $835 $2,212 $1,377
$50,000 10 years $299 $797 $497
$50,000 30 years $4,176 $11,061 $6,886
$100,000 30 years $8,352 $22,123 $13,771

Risk Metrics

Based on 5 years of daily returns

Metric SPSM XLI
Annualized Volatility 21.5% 17.3%
Max Drawdown -28.7% -22.7%
Sharpe Ratio 0.06 0.45

Dividend Comparison

Metric SPSM XLI
Annual Dividend (per share) $0.77 $2.05
Dividend Yield 1.52% 1.19%
Distribution Frequency Quarterly Quarterly

Top Holdings

0 of top 10 holdings overlap (0% overlap in top holdings)

SPSM Top Holdings

NameWeight
Viavi Solutions Inc.VIAV0.60%
FormFactor, Inc.FORM0.57%
Eastman Chemical CompanyEMN0.53%
Primoris Services CorporationPRIM0.53%
Element Solutions IncESI0.53%
Argan, Inc.AGX0.51%
Semtech CorporationSMTC0.51%
ESCO Technologies Inc.ESE0.50%
Match Group, Inc.MTCH0.49%
Viasat, Inc.VSAT0.48%

XLI Top Holdings

NameWeight
Caterpillar Inc.CAT6.82%
GE AerospaceGE6.11%
RTX CorporationRTX5.08%
GE Vernova Inc.GEV4.86%
The Boeing CompanyBA3.22%
Deere & CompanyDE2.90%
Eaton Corporation plcETN2.90%
Honeywell International Inc.HON2.79%
Union Pacific CorporationUNP2.78%
Uber Technologies, Inc.UBER2.75%

Which One Should You Choose?

Choose SPSM if...

you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.

Choose SPSM if...

you prioritize dividend income and want higher regular distributions from your portfolio.

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