At a glance
XLE charges 0.08% a year, below the 0.37% average of the 8 funds most like it (the cheapest of 9). It has $35.72B in assets, the largest of that group; it paid 2.17% of its price in distributions over the past 12 months, quarterly. Over the past year it returned +64.6% with distributions reinvested (S&P 500: +11.5%), 2nd of those 9 funds; over three years it returned −4.0% a year. At its worst it fell 56.3% in the 2020 crash (S&P 500: 33.7%) and 26.5% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 12 months and 4 months after the lows. Its ten largest positions make up 75.5% of the fund, out of 21 in all.
The short version
Energy Select Sector SPDR Fund (XLE) is a State Street index ETF that holds the energy companies in the S&P 500, tracking the Energy Select Sector Index. Its expense ratio, the annual fee, was 0.08% in its January 2026 prospectus, below all eight similar energy funds compared here, which average 0.37%. The trade-off is concentration: as of June 30, 2026, Exxon Mobil made up 22.7% of the fund and Chevron 16.1%.
Price history
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XLE +64.6% over the year to Oct 30, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| XLE official prospectus, to Dec 31, 2025 | — | +7.91% | — | +23.26% | +8.28% | — |
| XLE price data to Oct 30, 2026 | +59.7% | +64.6% | -4.0% | +6.3% | +3.1% | +5.9% |
- Over the year to Oct 30, 2026, XLE returned +64.6%, 2nd of 9 among similar funds.
- Its 5-year annualized return was +6.3% and its 10-year +3.1%.
- In the 2020 COVID crash it fell 56.3% and regained its old high 11.6 months after the low.
- Its worst full calendar year was 2025 (-46.3%); its best was 2022 (+60.9%).
- The deepest fall in its price history was 71.5% (Jun 23, 2014 to Mar 18, 2020), recovered by Mar 25, 2022.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +59.7% | — |
| 2025 | -46.3% | +7.91% |
| 2024 | +3.8% | +5.53% |
| 2023 | -2.4% | -0.69% |
| 2022 | +60.9% | +64.42% |
| 2021 | +49.9% | +53.02% |
| 2020 | -33.9% | -32.81% |
| 2019 | +11.7% | +11.81% |
| 2018 | -18.2% | -18.15% |
| 2017 | -1.5% | -1.06% |
| 2016 | +28.0% | +28.01% |
| 2015 | -21.5% | — |
| 2014 | -8.7% | — |
| 2013 | +26.2% | — |
| 2012 | +4.8% | — |
| 2011 | +2.1% | — |
| 2010 | +20.8% | — |
| 2009 | +20.6% | — |
| 2008 | -39.4% | — |
| 2007 | +36.1% | — |
| 2006 | +17.3% | — |
| 2005 | +39.3% | — |
| 2004 | +32.9% | — |
| 2003 | +24.6% | — |
| 2002 | -15.5% | — |
| 2001 | -18.8% | — |
| 2000 | +23.4% | — |
| 1999 | +17.0% | — |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 48.3% over that stretch · deepest drop along the way 57.6%, back to its old high 55.5 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 56% over that stretch · deepest drop along the way 56.3%, back to its old high 11.6 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Gained 42.2% over that stretch · deepest drop along the way 26.5%, back to its old high 3.7 months after the low |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $1.1500 | |
| 2025 | $1.4650 | +2.1% |
| 2024 | $1.4350 | -3.7% |
| 2023 | $1.4900 | -7.7% |
| 2022 | $1.6150 | +38.0% |
| 2021 | $1.1700 | -13.3% |
| 2020 | $1.3500 | -66.5% |
| 2019 | $4.0300 | +99.5% |
| 2018 | $2.0200 | +14.4% |
| 2017 | $1.7650 | +3.8% |
| 2016 | $1.7000 | -16.7% |
| 2015 | $2.0400 | +9.7% |
| 2014 | $1.8600 | +22.4% |
| 2013 | $1.5200 | +52.3% |
| 2012 | $0.9979 | +88.1% |
| 2011 | $0.5306 | +6.4% |
| 2010 | $0.4985 | -3.6% |
| 2009 | $0.5171 | +16.8% |
| 2008 | $0.4426 | +12.5% |
| 2007 | $0.3933 | +8.3% |
| 2006 | $0.3631 | +27.5% |
| 2005 | $0.2847 | +10.7% |
| 2004 | $0.2571 | +7.0% |
| 2003 | $0.2402 | -0.5% |
| 2002 | $0.2413 | -2.4% |
| 2001 | $0.2473 | +2.7% |
| 2000 | $0.2407 | +7.8% |
| 1999 | $0.2233 |
What's inside
As of Jun 30, 2026, the fund held 21 securities; the ten largest made up 75.54% of assets.
| Holding | Weight | |
|---|---|---|
| Exxon Mobil Corp | 22.67% | |
| Chevron Corp | 16.09% | |
| ConocoPhillips | 6.57% | |
| Williams Cos Inc | 5.03% | |
| Valero Energy Corp | 4.64% | |
| Marathon Petroleum Corp | 4.48% | |
| EOG Resources Inc | 4.15% | |
| SLB Ltd | 4.09% | |
| Phillips 66 | 4.07% | |
| Kinder Morgan Inc | 3.76% | |
| Targa Resources Corp | 3.45% | |
| Baker Hughes Co | 3.30% | |
| ONEOK Inc | 3.29% | |
| Devon Energy Corp | 2.86% | |
| Occidental Petroleum Corp | 2.12% |
By country
United States 95.73%Curaçao 4.09%By asset type
Stocks 99.83%By sector
Sectors of the companies held, for the 93.3% of the fund in companies that have a stock page here; other holdings and cash aren't classified. Source: N-PORT holdings report as of Jun 30, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Jun 30, 2026, investors withdrew a net $2.31B (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: -2.64%, -5.58%, -4.87%.
How it works
XLE is an index fund. It aims to match the price and yield performance of the Energy Select Sector Index, before expenses. S&P Dow Jones Indices builds the index from S&P 500 members labeled Energy under the Global Industry Classification Standard (GICS), a common industry-sorting system. That covers oil, gas and consumable fuels, plus energy equipment and services. As of November 30, 2025, the index had 22 stocks.
Weights follow a modified market-capitalization method: bigger companies get bigger slices, but S&P can trim the largest positions so the fund meets diversification limits in the federal tax code. Even so, the fund is classified as non-diversified, and a few stocks dominate. As of June 30, 2026, its 10 largest holdings made up 75.5% of assets, led by Exxon Mobil at 22.7% and Chevron at 16.1%.
The fund uses replication, owning substantially all the index stocks in roughly the same proportions; at least 95% of total assets normally goes into index securities. The rest can sit in cash or money market funds, including ones run by its adviser, SSGA Funds Management. Portfolio turnover, the share of holdings replaced in a year, was a low 10%. The fund uses no leverage or options. Like any ETF, its market price can differ from the value of its holdings.
What it really costs
- XLE charges 0.08% a year, versus an average of 0.37% for the similar funds below (1st of 9, cheapest first).
- Of that, 0.03% is the management fee; the rest covers other fund expenses.
- Using the prospectus's standard example, $10,000 invested would cost about $8 in the first year and $103 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| XLE | $8 | $26 | $45 | $103 |
In a retirement portfolio
XLE tracks the Energy Select Sector Index and held just 21 stocks as of June 30, 2026, with Exxon Mobil and Chevron making up about 39% of assets, so it is a concentrated sector position rather than a portfolio foundation.
XLE could add concentrated exposure to S&P 500 oil, gas and energy equipment companies, but it has not cushioned crashes. It fell 57.6% from May 2008 to March 2009 and recovered only in October 2013. It lost 56.3% in the 2020 COVID crash, recovering by March 2021, yet gained 42.2% while the broad market fell in 2022. Its deepest drop, 71.5%, ran from June 2014 to March 2020 and took until March 2022 to recover. Its worst calendar year from 2016 to 2025 was 2020, down 32.81%. Selling shares or drawing income in such slumps could lock in deep losses.
It yielded 2.23% over the 12 months to October 27, 2026, with quarterly payouts. Its 0.08% expense ratio, per the January 2026 prospectus, is below the 0.37% average of eight similar funds. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Cost-focused investors wanting energy stocks: the 0.08% expense ratio means $8 in first-year costs on $10,000 in the SEC's standard example.
- Investors wanting a holding that has sometimes moved against the market: XLE gained 42.2% while stocks fell from January to October 2022.
- Those wanting quarterly dividends from large energy companies like Exxon Mobil and Chevron; the trailing 12-month yield was 2.17% as of October 30, 2026.
Look elsewhere if
- Anyone uneasy with long slumps: XLE fell 71.5% from June 2014 to March 2020 and did not regain its peak until March 2022.
- Those wary of single-stock risk: Exxon Mobil (22.7%) and Chevron (16.1%) led holdings as of June 30, 2026; Invesco's equal-weight RSPG (0.40%) is worth comparing.
- Investors wanting smaller or non-US energy companies: XLE holds only S&P 500 members; iShares Global Energy ETF (IXC, 0.41%) is one alternative.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| XLE this fund | — | 0.08% | $35.72B | +64.6% | -4.0% |
| FTXN First Trust Nasdaq Oil & Gas ETF | 67% | 0.6% | $180.7M | +57.0% | +16.5% |
| IYE iShares U.S. Energy ETF | 66% | 0.39% | $1.76B | +56.7% | +20.5% |
| RSPG Invesco S&P 500 Equal Weight Energy ETF | 63% | 0.4% | $573.6M | +56.1% | +19.7% |
| VDE Vanguard Energy ETF | 60% | 0.09% | $13.26B | +62.1% | +21.4% |
| FENY Fidelity MSCI Energy Index ETF | 60% | 0.084% | $2.01B | +56.9% | +20.5% |
| IXC iShares Global Energy ETF | 60% | 0.41% | $2.00B | +54.8% | +20.9% |
| FXN First Trust Energy AlphaDEX Fund | 41% | 0.61% | $379.1M | +58.5% | +15.6% |
Questions investors ask
What are XLE's top holdings?
As of June 30, 2026, XLE's largest holdings were Exxon Mobil (22.7%), Chevron (16.1%), ConocoPhillips (6.6%), Williams (5.0%) and Valero Energy (4.6%). Marathon Petroleum, EOG Resources, SLB, Phillips 66 and Kinder Morgan completed the top 10, which together made up 75.5% of assets. At that date the fund held stocks of just 21 companies, so a bad stretch for Exxon Mobil or Chevron can move the whole fund.
What's the difference between XLE and VDE?
Both are low-cost energy ETFs, but their portfolios differ. XLE charges 0.08% a year versus 0.09% for Vanguard Energy ETF (VDE), and their holdings overlap by about 60%. XLE sticks to S&P 500 energy companies and is the larger fund, with $35.7 billion in net assets as of June 30, 2026, against VDE's $13.3 billion as of August 31, 2026. Over the year to October 30, 2026, XLE gained 64.6% and VDE 62.1%.
Does XLE pay monthly dividends?
No. XLE pays dividends quarterly, passing along what its energy stocks pay after fund expenses. Its trailing 12-month yield, which compares the past year's dividends with the share price, was 2.17% as of October 30, 2026. The income is not fixed. The prospectus warns that energy companies can be significantly affected by swings in energy prices, and companies under pressure can cut their dividends.
What is XLE's 10-year average return?
XLE's average annual return was 8.28% for the 10 years to December 31, 2025, according to its prospectus. The five-year figure was 23.26% a year, a period that excludes 2020's 32.81% loss, and the one-year figure was 7.91%. The ride was rough: calendar-year results ranged from that 2020 loss to a 64.42% gain in 2022. Its strongest quarter was a 38.97% gain in the first quarter of 2022, and its weakest a 50.72% drop in the first quarter of 2020.
Is XLE good for retirement?
It can play a supporting role, but it is a concentrated bet on one sector rather than a complete portfolio. Energy has sometimes held up when stocks fell: XLE gained 42.2% during the 2022 bear market. It has also crashed with the market, dropping 57.6% in the 2008 financial crisis and needing until October 2013 to recover. Its deepest decline, 71.5%, ran from June 2014 to March 2020. Retirees drawing regular income may find those swings hard to live with.