PRN vs XLI

PRNFInvesco Dorsey Wright Industrials Momentum ETF

XLIAState Street Industrial Select Sector SPDR ETF

In short

PRN Most industrials ETFs hold the sector by size. PRN holds its momentum leaders: a few dozen US industrials ranked on relative strength and reshuffled quarterly, at 0.60% net of a waiver through August 31, 2028 (0.69% gross).

XLI One of the original 1998 sector SPDRs: the S&P 500's industrial engine (defense primes, machinery, railroads, freight) in about 80 large-cap names for 0.08% a year.

Stated mandate

PRN The Fund normally invests at least 90% of its total assets in securities comprising the Dorsey Wright Industrials Technical Leaders Index. That index selects at least 30 Nasdaq US Benchmark Index securities exhibiting relative strength, or momentum.

XLI The fund seeks to track, before expenses, the price and yield performance of the Industrial Select Sector Index.

Why people hold it

• PRN Not a cap-weighted mirror of the sector. Nasdaq ranks industrials on a relative strength score built from intermediate and long term price moves, keeps at least 30 names, and gives higher scores bigger weights.nasdaqomx.com
• The lineup is re-examined every quarter (January, April, July, October), so names that lose their relative strength standing get replaced rather than ridden down.nasdaqomx.cominvesco.com
• Listed in 2006, it is one of the longest-running momentum ETFs on the market. It fishes from the Nasdaq US Benchmark, so mid-cap industrials can outrank mega caps on score alone.invesco.com

• XLI Charges 0.08% a year against a peer-group median of 0.38%, putting it at the bottom of the fee table with FIDU and a hair under VIS.
• Launched in December 1998 as one of the first US sector funds. Decades of live history, a multi-billion-dollar asset base, and very heavy daily trading.
• Plain index fund, no factor tilts or screens: it owns the industrial sector of the S&P 500 as defined, and has tracked that index closely.ssga.com
• Rates in the top quartile of the broad industrials funds we cover, one of the stronger implementations in the group.

Worth knowing

• PRN At 0.60% net of a waiver through August 31, 2028 (0.69% gross), it sits above the industrials category median, where plain index trackers like XLI (0.08%) and VIS (0.09%) live.
• A few dozen holdings concentrates the bet: individual names carry real weight, and quarterly reshuffles can leave the portfolio looking different from one period to the next.nasdaqomx.com
• It trades thinly next to the sector's household-name trackers, so bid-ask spreads and order size deserve more attention here.

• XLI S&P 500 only, so mid and small caps are out. VIS and FIDU reach further down the cap ladder; PSCI covers small-cap industrials exclusively.ssga.com
• About 80 stocks weighted by market value, so the aerospace, defense and machinery giants at the top drive most of the move. RSPN spreads it evenly for 0.40%.
• One sector, one economy: industrials swing with the business cycle, and this is a concentrated slice rather than a diversified core holding. Pays quarterly.

Full PRN profile⁠

Full XLI profile⁠