# How Sempra (SRE) compares with the whole market and its popular alternatives

> Source: EasyCompare research, https://easycompare.io/research/sre
> Data as of October 20, 2026. Total returns include reinvested dividends. Past performance does not predict future results; nothing here is investment advice.

Built by QuantCommons' quantitative engine, this page is about relative opportunity, not data on SRE alone. It places SRE (Sempra) against 20+ popular alternatives, its neighboring categories and the entire market of over 10,000 U.S.-listed stocks and ETFs, and surfaces what has done better on consistent outperformance, return for the risk taken, behavior in real market crashes and diversification. The result is a clearer view of where SRE stands in the market, and of the alternatives worth a closer look.

Period covered: SRE's full trading record, from October 1986 through September 2026. All returns include reinvested dividends. Data as of October 20, 2026.

## Key findings

- **Right now:** SRE has gone against the market, falling 9.9% over the past 6 months while the S&P 500 rose 9.1%. Its diversified utility peers were far apart over the past 6 months, from SO (Southern, down 1.4%) to PCG (PG&E, down 23.5%).
- **Stock or market?:** Not a move of its own: the diversified utilities ETF XLU (State Street Utilities Select Sector SPDR ETF) fell 6.1% over the past 3 months, with D (Dominion Energy, down 9.8%) and EXC (Exelon, down 5.5%), while the S&P 500 rose 3.9%. Its diversified utility peers did not move as one over the past 3 months: AEP (American Electric Power) fell 2.2%, while PCG (PG&E) fell 24.1%.
- **Past 1 to 3 years:** Over the past year, SRE fell 8.0% while the S&P 500 rose 15.8%. The same gap shows up over 3 years (32.7% against 89.3%). SRE led its diversified utility peers in 2023, then fell behind SO (Southern) and DUK (Duke Energy) in 2025.
- **Long term:** SRE turned $10,000 into $21,400 over the past decade, against $42,100 in the S&P 500.
- **In a crash:** SRE fell less than the S&P 500 in five of seven sell-offs, but the Covid crash broke the pattern: it fell 44.6%, more than the S&P 500's 33.7%.
- **Diversification:** SRE is some diversification, but not a hedge: a correlation of 0.41 with the S&P 500 over 5 years and 0.42 with the total US market, more closely than 55% of stocks worth at least $300 million. Over 10 years, SRE's beta versus the S&P 500 was 0.60: 48% of the S&P 500's gains in rising months and 49% of its losses in falling ones.
- **Better options**
  - **Nearby categories and themes:** PNW (Pinnacle West Capital, electric utilities) and EVRG (Evergy, electric utilities) earned more than SRE with less volatility over the past 5 years. PNW returned 13.4% a year at 19.9% volatility, against 8.1% a year at 23.0%.
  - **Whole market:** 371 of the 3,633 stocks and funds worth at least $500 million earned more than SRE with less volatility over the past 5 years, among them VTI (Vanguard Morningstar Total Stock Market ETF), VOO (Vanguard S&P 500 ETF) and BRK-B (Berkshire Hathaway).

## How much would $10,000 in SRE have grown?

This chart tracks a hypothetical $10,000 investment in SRE over the past 29 years, with dividends reinvested, alongside the same amount in the S&P 500, investments that ended ahead of SRE over the same span and SRE's popular alternatives, among those that traded for the entire period.

- $10,000 invested in SRE at the end of September 1997 would have grown to $198,869 by September 2026, more than the $132,907 it would have become in SPY, an S&P 500 fund.
- Five of the eight other investments on the chart ended ahead of SRE, and WMB finished highest, at $472,016.

## SRE at a glance

This section summarizes the key facts about the stock, its returns over periods from one to ten years and the risk it has carried, with dividends reinvested throughout.

- SRE's deepest decline since it began trading in 1986 was 57.8%, from October 1989 to February 1992. It took about three years from the low to climb back to its old high.
- Over 29 full calendar years, SRE's best was 2019, when it returned 44.0%, and its worst was 2008, when it lost 29.2%. It lost money in six of those years.
- SRE is 15.7% below its all-time high.

- Type: Stock, Utilities (Diversified Utilities)
- Trading since: October 17, 1986
- Market value: $54B
- Volatility (5 years): 23.0%; Sharpe ratio: 0.46
- Worst decline ever: −57.8%, from October 5, 1989 to February 10, 1992; back at its high by January 20, 1995

| Period | SRE total return |
| --- | --- |
| 1 month | +2.8% |
| 3 months | −7.9% |
| 6 months | −9.9% |
| year to date | −5.6% |
| 1 year | −8.0% |
| 3 years | +32.7% |
| 5 years | +47.5% |
| 10 years | +114% |

## SRE against the whole market

Where SRE ranks among every stock and fund, and what across the market has done better.

### How does SRE rank among all stocks?

This section ranks SRE on return, volatility, risk-adjusted return and worst decline against every stock worth at least $300 million with enough history.

- SRE is among the steadier stocks: its price swings rank in the top 7% of the 2,893 stocks worth at least $300 million, where the top is the calmest.

| Measure | SRE | Rank |
| --- | --- | --- |
| 1-year return | −8.0% | 2,278 of 3,287 (top 70%) |
| 3-year return | +32.7% | 1,804 of 3,017 (top 60%) |
| 5-year return | +47.5% | 1,118 of 2,893 (top 39%) |
| 10-year return | +114% | 1,272 of 2,202 (top 58%) |
| Volatility, 5 years | 23.0% | 212 of 2,893 (top 8%) |
| Sharpe ratio, 5 years | 0.46 | 1,061 of 2,893 (top 37%) |
| Worst decline, past 10 years | −45.0% | 289 of 2,187 (top 14%) |

### What has beaten SRE on both return and risk?

Each dot is an investment, placed by how much it earned a year over the past 5 years (higher is better) and how much its price swung, its volatility (further left is calmer).

- 41 stocks and 330 ETFs worth at least $500 million sit in the green region: each earned more than SRE over the past 5 years with smaller price swings. That is 10% of the 3,633 screened.
- Among those with at least half SRE's swings, DXJ has the best return for its risk: 26.6% a year at 19.1% volatility, 17% less than SRE's 23.0%, and a Sharpe ratio (return above cash per unit of volatility) of 1.34 against 0.46 for SRE.
- Among SRE's popular alternatives, ATO, NI and ED are in the region. ATO earned 14.9% a year against 8.1% a year for SRE, at 18.4% volatility, 20% less than SRE's 23.0%.

### Is there a better investment than SRE?

The table below lists investments that beat SRE over the past 5 years on at least one of these measures: a higher annual return with lower volatility, a higher annual return at similar volatility, a similar return with lower volatility, a higher Sharpe ratio with a smaller worst decline, a higher total return in most periods from 3 months to 10 years, or smaller losses in recent market crashes.

- Among SRE's popular alternatives, SO, AEP and ATO earned more than SRE with less volatility over the past 5 years. SO returned 11.3% a year at 18.8% volatility, against 8.1% a year at 23.0%.
- Looking beyond its popular alternatives, PNW (electric utilities) and EVRG (electric utilities) earned more than SRE with less volatility over the past 5 years. PNW returned 13.4% a year at 19.9% volatility, against 8.1% a year at 23.0%.
- Across the whole market, 371 of the 3,633 stocks and funds worth at least $500 million earned more than SRE with less volatility over the past 5 years, among them VTI, VOO and BRK-B.

The 15 strongest of 371 investments that beat SRE over the past 5 years, out of 3,633 stocks and funds worth at least $500 million.

| Investment | Group | Annual return (5 years) | Volatility | Sharpe | Worst decline (10 years) | 10Y return | Correlation with SRE | Better on |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| SRE: Sempra (this page) |  | +8.1% | 23.0% | 0.46 | −45.0% | +114% |  |  |
| [RY](https://easycompare.io/research/ry): Royal Bank of Canada | Banks | +17.3% | 18.2% | 0.97 | −40.0% | +352% | 0.42 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [VTI](https://easycompare.io/research/vti): Vanguard Morningstar Total Stock Market ETF | US Total Market | +11.5% | 17.5% | 0.71 | −35.0% | +302% | 0.42 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [VOO](https://easycompare.io/research/voo): Vanguard S&P 500 ETF | US Large-Cap Equity | +12.8% | 16.9% | 0.80 | −34.0% | +324% | 0.41 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [BRK-B](https://easycompare.io/research/brk-b): Berkshire Hathaway Inc. | Insurance | +13.4% | 17.1% | 0.82 | −29.6% | +274% | 0.44 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [JNJ](https://easycompare.io/research/jnj): Johnson & Johnson | Pharmaceuticals | +12.7% | 17.9% | 0.76 | −27.4% | +196% | 0.27 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| DXJ: WisdomTree Japan Hedged Equity Fund | International Equity | +26.6% | 19.1% | 1.34 | −39.1% | +428% | 0.30 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| LVHI: Franklin International Low Volatility High Dividend Index ETF | International Equity | +17.0% | 11.1% | 1.48 | −32.4% | +194% | 0.49 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [KO](https://easycompare.io/research/ko): The Coca-Cola Company | Food & Beverages | +14.7% | 16.8% | 0.91 | −37.0% | +204% | 0.24 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [NVS](https://easycompare.io/research/nvs): Novartis AG | Pharmaceuticals | +17.1% | 20.7% | 0.87 | −26.8% | +226% | 0.35 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [VTV](https://easycompare.io/research/vtv): Vanguard Morningstar Value ETF | US Large-Cap Value | +12.1% | 13.7% | 0.90 | −36.8% | +235% | 0.49 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [VEA](https://easycompare.io/research/vea): Vanguard FTSE Developed Markets ETF | Developed International Equity | +9.3% | 16.9% | 0.61 | −35.8% | +153% | 0.41 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [GLD](https://easycompare.io/research/gld): SPDR Gold Shares | Gold | +17.7% | 18.9% | 0.96 | −26.4% | +213% | 0.19 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [LIN](https://easycompare.io/research/lin): Linde plc | Chemicals | +11.5% | 20.9% | 0.63 | −32.6% | +394% | 0.33 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [VIG](https://easycompare.io/research/vig): Vanguard Dividend Appreciation ETF | US Dividend Equity | +10.4% | 14.1% | 0.78 | −31.7% | +258% | 0.47 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [SCHD](https://easycompare.io/research/schd): Schwab U.S. Dividend Equity ETF | US Dividend Equity | +9.7% | 14.3% | 0.72 | −33.4% | +252% | 0.38 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |

## SRE against its popular alternatives

The investments people most often weigh against SRE, compared period by period and year by year.

### How do SRE's risk and return compare with its alternatives?

This map plots each investment's annual return over the past 5 years against its volatility, the size of its typical price swings.

- Seven of the 25 popular alternatives, led by KMI, NI and ATO, were both more rewarding and calmer than SRE over the past 5 years, earning a higher annual return with lower volatility.
- Over the past 5 years, SRE returned 8.1% a year, less than the S&P 500's 12.7%, with higher volatility (23.0% against 17.1%).

### Has SRE consistently beaten its popular alternatives?

This section compares SRE with the investments people most often weigh against it, checking each one over eight periods from one month to ten years.

- 17 of the 25 popular alternatives, led by ATO, AEP and SO, outperformed SRE in at least 3 of 5 short-term and 2 of 3 long-term timeframes.
- ATO, AEP and SO outperformed SRE in every long-term period and in all but one short-term period, the most consistent record in the group.
- ATO, NI and ED earned more for the risk they took than SRE (a higher Sharpe ratio) and fell less in their worst decline of the past 10 years.

| Investment | 1Y return | 3Y return | 5Y return | 10Y return | Periods ahead of SRE | Verdict | Sharpe |
| --- | --- | --- | --- | --- | --- | --- | --- |
| SRE: Sempra (this page) | −8.0% | +32.7% | +47.5% | +114% |  |  | 0.46 |
| ATO: Atmos Energy Corporation | −3.8% | +65.2% | +100% | +194% | 5/5 short-term, 3/3 long-term | all-weather | 0.85 |
| [AEP](https://easycompare.io/research/aep): American Electric Power Company, Inc. | +11.3% | +93.3% | +79.4% | +185% | 5/5 short-term, 3/3 long-term | all-weather | 0.68 |
| [SO](https://easycompare.io/research/so): The Southern Company | −4.1% | +53.0% | +70.9% | +170% | 5/5 short-term, 3/3 long-term | all-weather | 0.67 |
| [KMI](https://easycompare.io/research/kmi): Kinder Morgan, Inc. | +26.9% | +129% | +136% | +163% | 5/5 short-term, 3/3 long-term | all-weather | 0.88 |
| NI: NiSource Inc | +0.1% | +86.1% | +102% | +158% | 5/5 short-term, 3/3 long-term | all-weather | 0.80 |
| CNP: CenterPoint Energy, Inc. | +2.3% | +60.0% | +71.3% | +142% | 5/5 short-term, 3/3 long-term | all-weather | 0.65 |
| [PWR](https://easycompare.io/research/pwr): Quanta Services, Inc. | +35.3% | +263% | +425% | +2,045% | 4/5 short-term, 3/3 long-term | all-weather | 1.08 |
| [LNG](https://easycompare.io/research/lng): Cheniere Energy, Inc. | +29.3% | +69.8% | +186% | +616% | 4/5 short-term, 3/3 long-term | all-weather | 0.85 |
| [WMB](https://easycompare.io/research/wmb): The Williams Companies, Inc. | +14.9% | +125% | +200% | +288% | 4/5 short-term, 3/3 long-term | all-weather | 1.04 |
| [BKR](https://easycompare.io/research/bkr): Baker Hughes Company | +22.1% | +70.1% | +146% | +248% | 4/5 short-term, 3/3 long-term | all-weather | 0.70 |
| AEE: Ameren Corporation | +3.4% | +52.5% | +45.9% | +192% | 5/5 short-term, 2/3 long-term | consistent | 0.49 |
| WEC: WEC Energy Group, Inc. | −4.3% | +49.1% | +41.6% | +159% | 5/5 short-term, 2/3 long-term | consistent | 0.46 |
| [XEL](https://easycompare.io/research/xel): Xcel Energy Inc. | −2.7% | +46.0% | +37.3% | +156% | 5/5 short-term, 2/3 long-term | consistent | 0.41 |
| LNT: Alliant Energy Corporation | +2.6% | +54.6% | +42.3% | +150% | 5/5 short-term, 2/3 long-term | consistent | 0.46 |
| [DUK](https://easycompare.io/research/duk): Duke Energy Corporation | −2.6% | +56.1% | +43.9% | +132% | 5/5 short-term, 2/3 long-term | consistent | 0.50 |
| [ED](https://easycompare.io/research/ed): Consolidated Edison, Inc. | +13.7% | +42.4% | +76.3% | +114% | 5/5 short-term, 2/3 long-term | consistent | 0.70 |
| CMS: CMS Energy Corporation | −6.0% | +42.2% | +31.4% | +123% | 4/5 short-term, 2/3 long-term | consistent | 0.38 |
| DTE: DTE Energy Company | −6.7% | +48.3% | +32.2% | +127% | 2/5 short-term, 2/3 long-term |  | 0.39 |
| PPL: PPL Corporation | −5.2% | +60.8% | +40.7% | +59.2% | 5/5 short-term, 1/3 long-term |  | 0.46 |
| [EXC](https://easycompare.io/research/exc): Exelon Corporation | −7.5% | +22.6% | +40.7% | +159% | 3/5 short-term, 1/3 long-term |  | 0.43 |
| ES: Eversource Energy | −6.0% | +40.5% | −7.0% | +72.0% | 3/5 short-term, 1/3 long-term |  | 0.06 |
| [D](https://easycompare.io/research/d): Dominion Energy, Inc. | +6.6% | +80.8% | +2.7% | +32.5% | 3/5 short-term, 1/3 long-term |  | 0.14 |
| PEG: Public Service Enterprise Group Incorporated | −13.6% | +31.9% | +32.3% | +142% | 0/5 short-term, 1/3 long-term |  | 0.38 |
| EIX: Edison International | +3.6% | +5.2% | +22.0% | +21.5% | 3/5 short-term, 0/3 long-term |  | 0.29 |
| PCG: PG&E Corporation | −19.9% | −16.0% | +16.9% | −77.2% | 0/5 short-term, 0/3 long-term |  | 0.26 |

### How did SRE do year by year?

This table shows each investment's total return in every full calendar year since 1997, along with where SRE ranked among its popular alternatives each year.

- SRE finished ahead of the S&P 500 in 17 of its 29 full calendar years, and behind it in each of the last three.
- Ranked against its popular alternatives each year, SRE finished in the top quarter in nine of 29 years and in the bottom quarter in five. In 2025, it ranked 22 of 26.
- Among its popular alternatives, PWR came out ahead of SRE most often, in 15 of the 27 years both traded.

| Year | SRE | SPY |
| --- | --- | --- |
| 2025 | +3.9% | +17.7% |
| 2024 | +21.1% | +24.9% |
| 2023 | −0.1% | +26.2% |
| 2022 | +20.3% | −18.2% |
| 2021 | +7.4% | +28.7% |
| 2020 | −12.8% | +18.3% |
| 2019 | +44.0% | +31.2% |
| 2018 | +4.5% | −4.6% |
| 2017 | +8.7% | +21.7% |
| 2016 | +10.1% | +12.0% |

## Risk and diversification

How SRE has fallen, how it held up in crashes beside the S&P 500 and its popular alternatives, and what moves independently of it.

### What were SRE's worst declines?

A drawdown is the decline from a peak to the lowest point before a new high.

- In all four of SRE's worst declines, the S&P 500 held up better over the same dates.
- Not every decline was the market's doing: SRE fell 36.6% from October 1998 to January 2000, while the S&P 500 rose 50.9%.
- The slowest recovery came after SRE fell 42.2% from April 2007 to October 2008; it did not regain that peak until January 2012, three years later.

| Decline | Peak | Low | Back at the high | SPY over the same dates | Market event |
| --- | --- | --- | --- | --- | --- |
| −57.8% | October 5, 1989 | February 10, 1992 | January 20, 1995 | — |  |
| −45.0% | January 30, 2020 | March 16, 2020 | March 4, 2022 | −26.8% | Covid crash |
| −42.2% | April 25, 2007 | October 27, 2008 | January 26, 2012 | −42.1% | 2008 financial crisis |
| −40.7% | May 11, 2001 | July 23, 2002 | April 14, 2003 | −35.1% | dot-com bust |
| −36.6% | October 7, 1998 | January 11, 2000 | April 16, 2001 | +50.9% |  |

### How did SRE do in stock market crashes?

This section measures how far SRE, the S&P 500 and each alternative fell from peak to trough during every major market crash since 2000.

- Among its popular alternatives, SO held up best, falling less than SRE in seven of the ten crashes they both traded through.
- SRE fell less than the S&P 500 in six of the ten crashes it has traded through. The clearest case was the 2008 financial crisis, when SRE fell 40.7% and the S&P 500 fell 55.2%.

| Crash | Dates | SRE fall | SPY fall |
| --- | --- | --- | --- |
| Dot-com bust | March 10, 2000 to October 9, 2002 | −40.7% | −47.5% |
| Global financial crisis | October 9, 2007 to March 9, 2009 | −40.7% | −55.2% |
| Flash crash | May 6, 2010 to May 7, 2010 | −1.3% | −1.5% |
| Euro debt crisis | July 22, 2011 to October 3, 2011 | −12.7% | −17.9% |
| China devaluation & oil rout | August 10, 2015 to February 11, 2016 | −17.0% | −12.8% |
| Volmageddon | February 2, 2018 to February 9, 2018 | −2.1% | −6.5% |
| Q4 2018 selloff | September 21, 2018 to December 24, 2018 | −9.4% | −19.3% |
| COVID crash | February 19, 2020 to March 23, 2020 | −44.6% | −33.7% |
| 2022 bear market | January 4, 2022 to October 12, 2022 | −19.4% | −24.5% |
| SVB / regional bank stress | March 8, 2023 to March 13, 2023 | −3.1% | −3.4% |

### How closely does SRE move with the S&P 500?

Upside capture measures how much of the S&P 500's gains an investment kept in the months the market rose, and downside capture how much of its losses it took in the months the market fell.

- Over the past 10 years, SRE captured 48% of the S&P 500's gains in rising months and 49% of its losses in falling months, with a beta of 0.60. It took about the same share of the market's gains as of its losses.
- 17 of the 25 popular alternatives had a higher capture ratio (upside capture divided by downside capture) than SRE's 0.97, led by LNG, PWR and SO.
- SO took just 20% of the S&P 500's losses, against 49% for SRE, while still keeping 41% of its gains.

Measured over the past 10 years of monthly returns against SPY.

| Investment | Upside capture | Downside capture | Beta |
| --- | --- | --- | --- |
| SRE: Sempra (this page) | 48.0% | 49.0% | 0.60 |
| ATO: Atmos Energy Corporation | 58.0% | 49.0% | 0.51 |
| [AEP](https://easycompare.io/research/aep): American Electric Power Company, Inc. | 44.0% | 23.0% | 0.40 |
| [SO](https://easycompare.io/research/so): The Southern Company | 41.0% | 20.0% | 0.39 |
| [KMI](https://easycompare.io/research/kmi): Kinder Morgan, Inc. | 68.0% | 82.0% | 0.82 |
| NI: NiSource Inc | 43.0% | 32.0% | 0.44 |
| CNP: CenterPoint Energy, Inc. | 57.0% | 62.0% | 0.71 |
| [PWR](https://easycompare.io/research/pwr): Quanta Services, Inc. | 141% | 61.0% | 1.22 |
| [LNG](https://easycompare.io/research/lng): Cheniere Energy, Inc. | 79.0% | 30.0% | 0.77 |
| [WMB](https://easycompare.io/research/wmb): The Williams Companies, Inc. | 85.0% | 78.0% | 1.02 |
| [BKR](https://easycompare.io/research/bkr): Baker Hughes Company | 127% | 160% | 1.37 |
| AEE: Ameren Corporation | 51.0% | 33.0% | 0.38 |
| WEC: WEC Energy Group, Inc. | 41.0% | 23.0% | 0.34 |
| [XEL](https://easycompare.io/research/xel): Xcel Energy Inc. | 41.0% | 24.0% | 0.35 |
| LNT: Alliant Energy Corporation | 50.0% | 45.0% | 0.46 |
| [DUK](https://easycompare.io/research/duk): Duke Energy Corporation | 35.0% | 19.0% | 0.33 |
| [ED](https://easycompare.io/research/ed): Consolidated Edison, Inc. | 31.0% | 18.0% | 0.22 |
| CMS: CMS Energy Corporation | 35.0% | 23.0% | 0.28 |
| DTE: DTE Energy Company | 47.0% | 42.0% | 0.50 |
| PPL: PPL Corporation | 52.0% | 77.0% | 0.65 |
| [EXC](https://easycompare.io/research/exc): Exelon Corporation | 40.0% | 21.0% | 0.37 |
| ES: Eversource Energy | 49.0% | 61.0% | 0.52 |
| [D](https://easycompare.io/research/d): Dominion Energy, Inc. | 43.0% | 70.0% | 0.52 |
| PEG: Public Service Enterprise Group Incorporated | 52.0% | 47.0% | 0.53 |
| EIX: Edison International | 30.0% | 52.0% | 0.61 |
| PCG: PG&E Corporation | −17.0% | 72.0% | 0.78 |

### What diversifies SRE?

Correlation measures how closely two investments move together, on a scale from 1 (in lockstep) through 0 (unrelated) to -1 (in opposite directions).

- Moving a fifth of the money in SRE into DXJ would have cut the portfolio's volatility by 16% over the past 5 years and raised its annual return (+7.6% for SRE alone, +11.6% for the mix).
- Among large ETFs, LVHI, DXJ and HDV have moved largely independently of SRE over the past 5 years, with correlations of 0.49 or lower, and each still earned a positive 5-year return.
- GLD made money in four of the six calendar years in which SRE lost money.

| Investment | Correlation with SRE | 5Y return | Volatility | Sharpe | Rose in SRE's 6 down years |
| --- | --- | --- | --- | --- | --- |
| LVHI: Franklin International Low Volatility High Dividend Index ETF | 0.49 | +119% | 11.1% | 1.48 | 1 of 6 |
| DXJ: WisdomTree Japan Hedged Equity Fund | 0.30 | +225% | 19.1% | 1.34 | 3 of 6 |
| HDV: iShares Core High Dividend ETF | 0.43 | +83.3% | 13.0% | 1.00 | 1 of 6 |
| [SMH](https://easycompare.io/research/smh): VanEck Semiconductor ETF | 0.21 | +323% | 36.9% | 0.97 | 3 of 6 |
| DBEF: Xtrackers MSCI EAFE Hedged Equity ETF | 0.41 | +85.0% | 13.8% | 0.96 | 3 of 6 |
| [GLD](https://easycompare.io/research/gld): SPDR Gold Shares | 0.19 | +126% | 18.9% | 0.96 | 4 of 6 |
| SPMO: Invesco S&P 500 Momentum ETF | 0.27 | +136% | 20.8% | 0.93 | 2 of 6 |
| [XLE](https://easycompare.io/research/xle): State Street Energy Select Sector SPDR ETF | 0.33 | +177% | 25.5% | 0.93 | 2 of 6 |

## Common questions

### What was SRE's worst drawdown?

SRE's deepest decline since it began trading in 1986 was 57.8%, from October 1989 to February 1992. It took about three years from the low to climb back to its old high.

### What were SRE's best and worst years?

Over 29 full calendar years, SRE's best year was 2019, when it returned 44.0%. Its worst was 2008, with a return of -29.2%.

### Is there a better investment than SRE?

Among SRE's popular alternatives, SO, AEP and ATO earned more than SRE with less volatility over the past 5 years. SO returned 11.3% a year at 18.8% volatility, against 8.1% a year at 23.0%. Looking beyond its popular alternatives, PNW (electric utilities) and EVRG (electric utilities) earned more than SRE with less volatility over the past 5 years. PNW returned 13.4% a year at 19.9% volatility, against 8.1% a year at 23.0%.

### Is SRE more volatile than the S&P 500?

Yes. SRE's volatility over the past 5 years was 23.0%, 1.3 times the S&P 500's 17.1%. Volatility measures how widely returns swing around their average: in roughly two years out of three, SRE's return lands within 23.0% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump.

### What is SRE's Sharpe ratio?

SRE's Sharpe ratio over the past 5 years was 0.46, against 0.79 for the S&P 500, so SRE earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings.

### How correlated is SRE with the S&P 500?

Over the past 5 years, SRE's monthly returns had a correlation of 0.41 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They often move together: some diversification next to an index fund, but not a cushion. In the table, the correlation column measures each option against SRE instead: the lower it is, the more that option would diversify a SRE holding.

### What are the best alternatives to SRE?

Of the 25 popular alternatives we compared, 17 outperformed SRE in at least 3 of 5 short-term and 2 of 3 long-term timeframes, with dividends reinvested: ATO, AEP and SO.

### Did SRE outperform the S&P 500?

SRE finished ahead of the S&P 500 (SPY) in 17 of 29 full calendar years. In 2025, it returned +3.9%, against +17.7% for the index.

### How did SRE do in stock market crashes?

SRE fell less than the S&P 500 (SPY) in six of the ten major crashes it has traded through, and further in two. The clearest case was the 2008 financial crisis, when SRE fell 40.7% and the S&P 500 fell 55.2%.

### What diversifies SRE?

These had a low correlation with SRE over the past 5 years and still earned a positive 5-year return: among large ETFs, LVHI (correlation 0.49), DXJ (correlation 0.30) and HDV (correlation 0.43); among large stocks, CAH (correlation 0.36), CLS (correlation 0.22) and FIX (correlation 0.42). A correlation near zero means the two have moved largely independently.

## More research

- [American Electric Power (AEP) Performance, Alternatives and Market Rank](https://easycompare.io/research/aep)
- [Southern (SO) Performance, Alternatives and Market Rank](https://easycompare.io/research/so)
- [Kinder Morgan (KMI) Performance, Alternatives and Market Rank](https://easycompare.io/research/kmi)
- [Quanta Services (PWR) Performance, Alternatives and Market Rank](https://easycompare.io/research/pwr)
- [Cheniere Energy (LNG) Performance, Alternatives and Market Rank](https://easycompare.io/research/lng)
- [Williams Companies (WMB) Performance, Alternatives and Market Rank](https://easycompare.io/research/wmb)
- [Baker Hughes (BKR) Performance, Alternatives and Market Rank](https://easycompare.io/research/bkr)
- [Xcel Energy (XEL) Performance, Alternatives and Market Rank](https://easycompare.io/research/xel)
- [Duke Energy (DUK) Performance, Alternatives and Market Rank](https://easycompare.io/research/duk)
- [Consolidated Edison (ED) Performance, Alternatives and Market Rank](https://easycompare.io/research/ed)
- [Exelon (EXC) Performance, Alternatives and Market Rank](https://easycompare.io/research/exc)
- [Dominion Energy (D) Performance, Alternatives and Market Rank](https://easycompare.io/research/d)

## Explore further

- Full page with charts: https://easycompare.io/research/sre
- All research pages: https://easycompare.io/llms.txt
- Compare the entire market against SRE live: https://betterthanspy.com/?b=SRE&utm_source=easycompare&utm_medium=research