Looking to balance out your exposure to HRI? The ETFs below have the lowest correlation with HRI — they tend to move on their own, which can help reduce risk when HRI drops. The stock ideas table highlights individual companies that behave independently from HRI.
Best Diversifiers for HRI
0 ETFs have low correlation with HRI (below 0.3), 0 of which are negatively correlated. The least correlated is Invesco QQQ ETF (QQQ) (Nasdaq-100) with a 1Y correlation of 0.34, roughly unchanged from 0.44 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| Invesco QQQ ETF | 0.34 | 0.36 | 0.44 | 73 | Nasdaq-100 | HRI vs QQQ | |
| State Street SPDR S&P 500 ETF | 0.43 | 0.47 | 0.54 | 70 | S&P 500 | HRI vs SPY |
Low-Correlation Stock Ideas
If you're looking for individual stocks that move independently from HRI, these are worth exploring. The table shows U.S. companies ($1B+ market cap) with low correlation to HRI and solid risk/return profiles. The least correlated is Ciena Corporation (CIEN) (Technology) with a 1Y correlation of 0.13, down from 0.37 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Sector |
|---|---|---|---|---|---|---|
| Ciena Corporation | 0.13 | 0.31 | 0.37 | 99 | Technology | |
| Carpenter Technology Corporation | 0.27 | 0.38 | 0.45 | 88 | Industrials | |
| MasTec, Inc. | 0.29 | 0.41 | 0.46 | 95 | Industrials | |
| W.W. Grainger, Inc. | 0.37 | 0.43 | 0.46 | 61 | Industrials |
Build a portfolio that complements HRI
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