ITA vs XAR: Returns, Drawdowns and Dividends Since 2016
ITA (iShares U.S. Aerospace & Defense ETF) and XAR (State Street SPDR S&P Aerospace & Defense ETF) mostly moved together (a daily correlation of 0.949, where 1 would mean identical). XAR came out ahead, returning 15.3% a year with dividends reinvested from January 2016 to November 2026, against 13.5% for ITA.
Bought on any day and held five years, XAR finished ahead 81% of the time. XAR also fell less at its worst: 46.4%, against 51.0% for ITA.
| Measure | ITA | XAR |
|---|---|---|
| Annual return | 13.5% | 15.3% |
| $10,000 grew to | $39,389 | $46,767 |
| Worst decline | −51.0%Mar 2020 | −46.4%Mar 2020 |
| Volatility Volatility How much the fund's daily returns swing: their standard deviation over this period, annualized with the square root of 252 trading days. | 22.9% | 24.6% |
| Sharpe ratio Sharpe ratio Return above T-bills for each unit of risk: daily returns minus the T-bill ETF BIL, averaged, divided by their standard deviation and annualized. Higher is better. T-bill funds show none. Sharpe ratio calculator | 0.57 | 0.62 |
| 12-month yield 12-month yield Cash dividends with ex-dividend dates in the past 12 months, divided by the latest closing price. | 0.3% | 0.2% |
| Best year | +48.6%2025 | +46.1%2025 |
| Worst year | −14.1%2020 | −5.0%2022 |
| Correlation between them Correlation How closely the two funds' daily returns moved together over this period: 1 means identical every day, 0 means no relation. | 0.949 | |
ITA: iShares U.S. Aerospace & Defense ETFXAR: State Street SPDR S&P Aerospace & Defense ETF
Jan 4, 2016 to Nov 4, 2026, dividends reinvested.
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Worst declines
ITA fell 51.0% from Feb 12, 2020 to Mar 23, 2020 and was back at its high on Feb 14, 2023. XAR fell 46.4% from Feb 12, 2020 to Mar 23, 2020 and was back at its high on Jan 14, 2021.
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Year by year
ITA was ahead in 5 of the 11 calendar years.
| Year | ITA | XAR | Ahead (pts) |
|---|---|---|---|
| 2026 (to Nov 4) | −0.6% | −6.4% | ITA+5.8 |
| 2025 | +48.6% | +46.1% | ITA+2.5 |
| 2024 | +15.8% | +23.3% | XAR+7.5 |
| 2023 | +14.3% | +23.8% | XAR+9.4 |
| 2022 | +10.0% | −5.0% | ITA+15.0 |
| 2021 | +9.4% | +2.3% | ITA+7.1 |
| 2020 | −14.1% | +6.2% | XAR+20.3 |
| 2019 | +29.5% | +39.3% | XAR+9.8 |
| 2018 | −7.7% | −4.6% | XAR+3.1 |
| 2017 | +34.6% | +33.0% | ITA+1.6 |
| 2016 (from Jan 4) | +21.1% | +22.8% | XAR+1.7 |
Held for 1, 3 or 5 years: which came out ahead
Buy on any trading day from Jan 4, 2016, hold for a set time, and see which fund ended higher. The periods overlap, so they show how much the start date mattered, not separate results.
| Hold | Days tested | Ahead more often | Median lead (pts) |
|---|---|---|---|
| 1 year | 2,474 | XAR71% | +3.4 |
| 3 years | 1,970 | XAR74% | +12.9 |
| 5 years | 1,466 | XAR81% | +16.9 |
Median lead is the typical gap in total return across all start dates, in percentage points. The latest 5-year hold starts on Oct 27, 2021.
Dividends
Over the past 12 months ITA paid 0.3% of its price in dividends and XAR 0.2%. The returns above already include them, reinvested on each ex-dividend date.
Dividends per share by year
| Year | ITA | XAR |
|---|---|---|
| 2026 (to Nov 4) | $0.57 3 payments | $0.30 3 payments |
| 2025 | $1.18 3 payments | $0.96 4 payments |
| 2024 | $1.23 4 payments | $1.10 4 payments |
| 2023 | $1.17 4 payments | $0.74 4 payments |
| 2022 | $1.06 4 payments | $0.55 4 payments |
| 2021 | $0.84 4 payments | $0.97 4 payments |
| 2020 | $1.82 4 payments | $0.72 4 payments |
| 2019 | $3.42 5 payments | $0.81 4 payments |
| 2018 | $1.95 4 payments | $0.94 4 payments |
| 2017 | $1.72 4 payments | $0.63 4 payments |
| 2016 (from Jan 4) | $1.51 4 payments | $0.69 4 payments |
Per share in today's shares (earlier amounts are restated for share splits), by ex-dividend date.
The two funds
- ITA
- iShares U.S. Aerospace & Defense ETF, an ETF launched May 5, 2006. FinLab prices start Jan 4, 2016.
- ITA price and signal backtests
- XAR
- State Street SPDR S&P Aerospace & Defense ETF, an ETF launched Sep 29, 2011. FinLab prices start Jan 4, 2016.
More comparisons
Source: FinLab U.S. fund prices, Jan 4, 2016 to Nov 4, 2026, the days both funds traded. Returns use prices adjusted for dividends and splits, before taxes; annual return is compounded.
For research and education. Past returns do not guarantee future results, and this is not investment advice.