XLB ETF — Materials Select Sector SPDR Fund

Materials Select Sector SPDR Fund (XLB)

XLB is a low-cost ETF that tracks the Materials Select Sector Index. As of September 3, 2026, its distribution rate is 1.47%, its trailing-12-month yield is 1.61%, its expense ratio is 0.08%. Dividend Vision Distribution Safety Score™ is 92/100 (Safe). Total return is 892.5% over the past 27.7 years, 40.9 points behind SPY at 933.4%.

At the current 1.47% distribution rate, a $10,000 investment would generate approximately $147 per year, or $12.25 per month on an equivalent basis. Actual quarterly payments vary.

Materials Select Sector SPDR Fund is an ETF that tracks the Materials Select Sector Index, holding the stocks of large-cap materials companies in chemicals, metals and mining, paper and forest products, containers and packaging, and construction materials. The fund distributes quarterly with a modest current distribution rate and carries a low expense ratio of 0.08%. It appeals to investors seeking broad exposure to the materials sector as part of a diversified equity portfolio.

XLB performance versus SPY

Data as of September 3, 2026.

Total return is 892.5% over the past 27.7 years, 40.9 points behind SPY at 933.4%. Its deepest 1-year drawdown was 12.4%.

XLB key facts

Data as of September 3, 2026.

Distribution Safety Score™

92 · Safe

Safety-Adjusted Yield

1.35%

Issuer

State Street

Asset type

ETF

Asset class

Equity

Inception date

12/16/1998

Expense ratio

0.08%

Distribution rate

1.47%

Distribution frequency

Quarterly

Trailing yield

1.61%

Last close

$52.62

NAV

$52.96

Premium / discount

0.64% discount

AUM

$8,622,350,441

Market cap

$3,724,208,896

Average volume

14287443.0

Last dividend

$0.1932

Last ex-dividend date

06/22/2026

Last payment date

06/24/2026

Beta

0.82

P/E ratio

24.5555

How Dividend Vision calculates yield and returns

Distribution rate (1.47%) is the latest regular payout annualized by the fund's stated frequency, divided by the last close. Issuers often publish this as “Distribution Rate” on the fact sheet. Trailing-12-month yield (1.61%) is the sum of distributions paid in the last 12 months, split-adjusted, divided by the last close. It lags a recent raise or cut. We show a 30-day SEC yield when the fund publishes one. Schwab and other issuers may report a TTM distribution yield or SEC yield on a different date — all can be valid; they are not interchangeable. Total return uses split-adjusted close with distributions reinvested on the ex-dividend date (a modeling convention, not the cash-settlement date) from the first stored bar on or after inception through the latest bar, compared with the same window on the benchmark. That is the security's total return, not your personal gain/loss. Figures below use Dividend Vision data as of September 3, 2026.

Distribution rate methodology · Distribution Safety Score methodology · SEC yield

Sources and review

Data as of September 3, 2026.

Primary sources: State Street or company page; Index: Materials Select Sector Index; prices and distributions from Dividend Vision, derived from vendor EOD data.

Reviewed by Bert Sweet, CEO and Co-owner of Dividend Vision. Methodology: Distribution Safety Score.

XLB risks and drawbacks

XLB's current distribution rate is moderate, not a high-yield payout — the strategy is dividend quality more than maximum income. Payments are quarterly, so cash flow is lumpy versus a monthly fund. Total return has trailed SPY over the available window. The deepest 1-year drawdown on record here is 12.4%.

Who may consider XLB — and who may not

XLB may suit someone looking for low-cost broad dividend exposure, a high Distribution Safety Score. It is a weaker fit for investors who need monthly cash flow (XLB pays quarterly); investors hunting double-digit covered-call yields; investors whose main goal is matching SPY total return. This is educational context, not a recommendation to buy or sell.

Frequently asked questions

More securities from State Street.