Looking to balance out your exposure to ESI? The ETFs below have the lowest correlation with ESI — they tend to move on their own, which can help reduce risk when ESI drops. The stock ideas table highlights individual companies that behave independently from ESI.
Best Diversifiers for ESI
0 ETFs have low correlation with ESI (below 0.3), 0 of which are negatively correlated. The least correlated is WisdomTree Japan Hedged Equity Fund (DXJ) (Japan Equities) with a 1Y correlation of 0.40, roughly unchanged from 0.46 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| WisdomTree Japan Hedged Equity Fund | 0.40 | 0.38 | 0.46 | 90 | Japan Equities | ESI vs DXJ | |
| Invesco QQQ ETF | 0.54 | 0.52 | 0.60 | 74 | Nasdaq-100 | ESI vs QQQ | |
| Avantis US Small Cap Value ETF | 0.57 | 0.62 | 0.69 | 75 | Small Cap Value Equities | ESI vs AVUV | |
| VanEck Semiconductor ETF | 0.59 | 0.55 | 0.60 | 96 | Semiconductors, Technology Equities | ESI vs SMH | |
| Invesco PHLX Semiconductor ETF | 0.60 | 0.57 | — | 96 | Semiconductors, Technology Equities | ESI vs SOXQ |
Low-Correlation Stock Ideas
If you're looking for individual stocks that move independently from ESI, these are worth exploring. The table shows U.S. companies ($1B+ market cap) with low correlation to ESI and solid risk/return profiles. The least correlated is Apple Inc (AAPL) (Technology) with a 1Y correlation of 0.29, down from 0.42 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Sector |
|---|---|---|---|---|---|---|
| Apple Inc | 0.29 | 0.29 | 0.42 | 90 | Technology | |
| Albemarle Corporation | 0.32 | 0.41 | 0.46 | 92 | Basic Materials |
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