PINK Outperforms XLV as Investors Face Trade-Off Between Growth and Cost

Overview

• As of early June 2026, the Simplify Health Care ETF (PINK) has outpaced the State Street XLV over the trailing 12 months, returning about 31.3% versus XLV’s 12.9% and growing $1,000 into roughly $1,525 versus $1,214 over four years.
• XLV remains far cheaper and larger, with a 0.08% expense ratio, roughly $37.6 billion in assets and a trailing 12‑month dividend yield near 1.7%, compared with PINK’s 0.51% fee, about $266 million AUM and roughly 0.7% yield.
• The two funds differ in concentration and risk: XLV holds 60 S&P 500 healthcare mega‑caps led by Eli Lilly, Johnson & Johnson and AbbVie, while PINK holds about 58 more growth‑oriented names including PureCycle Technologies, United Therapeutics and Novo Nordisk.
• PINK is actively managed by Michael Taylor, uses a currency hedge and donates its net profits to Susan G. Komen as a pro‑bono ETF, features that distinguish its strategy from XLV’s passive index tracking.
• Investors must weigh PINK’s higher short‑term upside and idiosyncratic single‑stock risk against XLV’s fee advantage, greater liquidity and higher income, with fees compounding over time and concentration raising the potential for larger swings in returns.