4 Best Long-Term Performance Industrials Sector ETFs 1.4

  • Asset Class: Industrials Sector

  • Oldest ETF back tested: The Industrial Select Sector SPDR® Fund (XLI)

  • Correlation to U.S. Stock Market: 0.89

  • Long-Term Performance: 7.24% CAGR

  • S&P 500 Performance: 6.50% CAGR

  • Back test timeframe: January 1999 – October 2020

  • Number of ETFs available in this asset class: 26

  • Number of ETFs in this asset class that are 10-years old or older: 14

XLI vs SPY: January 1999 – October 2020

XLI vs SPY: December 22, 1998 – November 6, 2020

The Deep Value ETF Accumulator rankings for the 14 oldest Industrials Sector ETFs:

The 4 top ranked Industrials sector ETFs head-to-head comparisons:

PPA vs RGI vs ITA vs XLI: December 2006 – October 2020

PPA vs RGI vs ITA vs XLI: November 7, 2006 – November 6, 2020

Stated objectives of 4 top ranked Industrials sector ETFs:

PPA – The Invesco Aerospace & Defense ETF (Fund) is based on the SPADE™ Defense Index (Index). The Fund will normally invest at least 90% of its total assets in common stocks that comprise the Index. The Index is designed to identify a group of companies involved in the development, manufacturing, operations and support of US defense, homeland security and aerospace operations. The Fund and the Index are rebalanced and reconstituted quarterly.

RGI – The Invesco S&P 500® Equal Weight Industrials ETF (Fund) is based on the S&P 500® Equal Weight Industrials Index (Index). The Fund will invest at least 90% of its total assets in common stocks that comprise the Index. The Index equally weights stocks in the industrials sector of the S&P 500® Index. The Fund and the Index are rebalanced quarterly.

ITA – The iShares U.S. Aerospace & Defense ETF seeks to track the investment results of an index composed of U.S. equities in the aerospace and defense sector. Exposure to U.S. companies that manufacture commercial and military aircrafts and other defense equipment. Targeted access to domestic aerospace and defense stocks. Use to express a sector view.

XLI – The Industrial Select Sector SPDR® Fund seeks to provide investment results that, before expenses, correspond generally to the price and yield performance of the Industrial Select Sector Index (the “Index”). The Index seeks to provide an effective representation of the industrial sector of the S&P 500 Index. Seeks to provide precise exposure to companies in the following industries: aerospace and defense; industrial conglomerates; marine; transportation infrastructure; machinery; road and rail; air freight and logistics; commercial services and supplies; professional services; electrical equipment; construction and engineering; trading companies and distributors; airlines; and building products. Allows investors to take strategic or tactical positions at a more targeted level than traditional style based investing.

Thank you for taking time to read this article. If you found it useful, please share it with a friend.

Respectfully yours, Micah McDonald, aka the Deep Value ETF Accumulator

Previous Deep Value ETF Accumulator article on Industrials sector ETFs:

4 Best Long-Term Performance Industrials Sector ETFs 1.3

Disclosure: We currently own shares of ITA and we intend to buy more shares in the future. I am not a professional investment advisor. Please perform you own due diligence or seek the advice of a Registered Investment Advisor before investing in any security mentioned in this article. This website contains affiliate links to M1 Finance and Google AdSense.