What if you invested monthly in a Utilities sector ETF (XLU) for 15 years?
This scenario invests a fixed USD amount every month in a U.S. utilities sector ETF (XLU) from July 2011 to July 2026 — 15 years of dollar-cost averaging. It compares this defensive, dividend-oriented low-growth sector's performance and drawdowns against the S&P 500.
Investment conditions
Asset · Utilities sector ETF (XLU)
Method · Recurring monthly investment
Period · 2011-07-01 ~ 2026-07-01
Amount · $222 / month
As of · 2026-07-01
Key metrics
These results do not reflect taxes. Based on historical data.
Risk & recovery
As important as returns. This service does not hide maximum drawdown or loss periods.
Maximum drawdown (MDD)
-35.7%
Largest drop from peak
Longest loss period
1months
Months in loss: 2
Recovery period
10months
Growth over time
Invested principal (dashed) and portfolio value (solid). Values below match the calculation.
Total invested $40,222 → Final value $91,202 (+126.7%), Maximum drawdown (MDD) -35.7%
Why this period and asset
XLU holds regulated utilities in electricity, gas, and water. Steady cash flows and dividends make it strongly defensive, but its rate sensitivity makes it behave somewhat like bonds. From 2011 to 2026 it was relatively weak in rate-rising phases and drew attention as a defensive holding when uncertainty rose.
Interpreting the result
Utilities is a low-growth, low-volatility defensive sector. Investing monthly for 15 years spreads entry points, and drawdowns tend to be shallower than in other sectors. Still, it can fall when rates rise as its appeal fades, and in broad selloffs it too suffers a maximum drawdown, producing a loss period and recovery period. Versus the S&P 500 it can lag sharply in bull markets while acting as a buffer in downturns.
Caveats & limits
Utilities is rate-sensitive with limited growth. Defensive does not mean loss-free, and it carries regulatory and energy-policy risk. Past performance does not guarantee the future, and expense ratios, commissions, taxes, and currency moves affect results. This scenario does not recommend buying any sector.
Data sources & limits
- Price data source: Yahoo Finance / FinanceDataReader
- Collected on: 2026-07-23
- Effective trading date: 2026-07-01
- Price basis: 調整後終値(配当・株式分割を反映)
- Trading fees and taxes are not reflected — figures are pre-tax.
- Based on historical data; does not guarantee future returns.
Frequently asked questions
Are utilities safe because they pay dividends?
Dividends and low volatility are hallmarks, but they do not mean loss-free. In rate-rising phases or market selloffs the sector also draws down.
Why do utilities weaken when rates rise?
Their steady dividends compete with bonds, so rising rates reduce their relative appeal and tend to pressure prices.
Should I expect growth?
Being a regulated industry, growth is limited. In exchange, low volatility gives it a defensive role.
Related scenarios
📋 結果は過去のデータに基づくものです。過去のリターンは将来のリターンを保証しません。
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