Looking to balance out your exposure to FCPT? The ETFs below have the lowest correlation with FCPT — they tend to move on their own, which can help reduce risk when FCPT drops. The stock ideas table highlights individual companies that behave independently from FCPT.
Best Diversifiers for FCPT
3 ETFs have low correlation with FCPT (below 0.3), 2 of which are negatively correlated. The least correlated is iShares Global Tech ETF (IXN) (Technology Equities) with a 1Y correlation of -0.09, down from 0.19 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| iShares Global Tech ETF | -0.09 | 0.04 | 0.19 | 88 | Technology Equities | FCPT vs IXN | |
| Vanguard S&P 500 Growth ETF | -0.00 | 0.09 | 0.23 | 58 | S&P 500, Large Cap Growth Equities | FCPT vs VOOG | |
| Vanguard S&P 500 ETF | 0.10 | 0.24 | 0.34 | 70 | S&P 500 | FCPT vs VOO | |
| Schwab U.S. Dividend Equity ETF | 0.38 | 0.51 | 0.49 | 80 | Dividend | FCPT vs SCHD |
Low-Correlation Stock Ideas
If you're looking for individual stocks that move independently from FCPT, these are worth exploring. The table shows U.S. companies ($1B+ market cap) with low correlation to FCPT and solid risk/return profiles. The least correlated is Chevron Corporation (CVX) (Energy) with a 1Y correlation of 0.05, down from 0.18 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Sector |
|---|---|---|---|---|---|---|
| Chevron Corporation | 0.05 | 0.14 | 0.18 | 83 | Energy | |
| Brookfield Renewable Partners L.P. | 0.06 | 0.20 | 0.22 | 85 | Utilities | |
| Macerich Company | 0.35 | 0.44 | 0.46 | 80 | Real Estate | |
| CareTrust REIT, Inc. | 0.39 | 0.45 | 0.51 | 82 | Real Estate | |
| National Retail Properties, Inc. | 0.68 | 0.73 | 0.75 | 62 | Real Estate |
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