XLI — Industrial Select Sector SPDR
SPDR (State Street) · Expense Ratio: 0.1% · Sectors · roughly average for its Sectors category
Key Facts
| Ticker | XLI |
| Full Name | Industrial Select Sector SPDR |
| Provider | SPDR (State Street) |
| Expense Ratio | 0.1% |
| Category | Sectors |
| Assets Under Management | $25B |
| Inception Year | 1998 (28 years ago) |
| Number of Holdings | 78 |
| Dividend Yield | ~1.2% (low) |
| Top Holdings | GE, CAT, RTX |
What Is XLI?
XLI, managed by SPDR (State Street), launched in 1998, is a major ETF with deep liquidity and tight bid-ask spreads in the Sectors category. Sector-specific ETF targeting a particular industry like technology, healthcare, or energy. With $25B in assets under management, it benefits from deep institutional liquidity and tight bid-ask spreads.
XLI in a FIRE Portfolio
This fund serves as a satellite position — adding targeted exposure to sectors within a FIRE portfolio built around a broad-market core.
Satellite holdings typically make up 5-20% of your portfolio. Sector bets amplify risk — limit any single sector to 5-10% of your portfolio. The rest should stay in broad-market core holdings.
Cost Analysis: How XLI's 0.1% Fee Affects Your FIRE Timeline
At 0.1%, XLI is moderately priced. Annual fees on a $100K investment: $100. Over 30 years, the fee drag shaves approximately 0.6% off your total returns. For a $1M FIRE portfolio, that's about $10,000 in cumulative fees — noticeable but reasonable for most investors.
Dividend Income Potential
With a low dividend yield of approximately 1.2%, here's what XLI could generate in annual income at different portfolio sizes:
| Portfolio Value | Annual Dividend Income | Monthly Income |
|---|---|---|
| $100,000 | $1,200/year | $100/month |
| $250,000 | $3,000/year | $250/month |
| $500,000 | $6,000/year | $500/month |
| $1,000,000 | $12,000/year | $1,000/month |
Frequently Asked Questions About XLI
What is the expense ratio for XLI?
XLI has an expense ratio of 0.1%. This is moderately priced — on a $100K portfolio, annual fees are $100. Roughly average for its sectors category.
Is XLI good for a FIRE portfolio?
This fund serves as a satellite position — adding targeted exposure to sectors within a FIRE portfolio built around a broad-market core. Its 0.1% expense ratio is moderately priced for the Sectors category.
How does the 0.1% fee affect long-term returns?
At 0.1%, you'll pay $100/year per $100K invested. Over 30 years, fees reduce total returns by approximately 0.6%. Use the embedded calculator below to model the exact impact on your specific portfolio.
Similar ETFs in Sectors
- QQQ — Invesco QQQ Trust (0.2% · Satellite Position)
- XLK — Technology Select Sector SPDR (0.1% · Satellite Position)
- XLV — Health Care Select Sector SPDR (0.1% · Satellite Position)
- XLF — Financial Select Sector SPDR (0.1% · Satellite Position)
- XLE — Energy Select Sector SPDR (0.1% · Satellite Position)
- XLU — Utilities Select Sector SPDR (0.1% · Satellite Position)
- XLP — Consumer Staples Select Sector SPDR (0.1% · Satellite Position)
- XLY — Consumer Discretionary Select Sector SPDR (0.1% · Satellite Position)
- XLB — Materials Select Sector SPDR (0.1% · Satellite Position)
- VGT — Vanguard Information Technology ETF (0.1% · Satellite Position)
- VHT — Vanguard Health Care ETF (0.1% · Satellite Position)