Looking to balance out your exposure to NLY? The ETFs below have the lowest correlation with NLY — they tend to move on their own, which can help reduce risk when NLY drops. The stock ideas table highlights individual companies that behave independently from NLY.
Best Diversifiers for NLY
103 ETFs have low correlation with NLY (below 0.3), 9 of which are negatively correlated. The least correlated is Invesco DB Commodity Index Tracking Fund (DBC) (Commodities) with a 1Y correlation of -0.16, down from 0.12 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| Invesco DB Commodity Index Tracking Fund | -0.16 | 0.01 | 0.12 | 60 | Commodities | NLY vs DBC | |
| Invesco Optimum Yield Diversified Commodity Strate... | -0.16 | 0.00 | 0.11 | 61 | Commodities | NLY vs PDBC | |
| Vanguard Energy ETF | -0.12 | 0.16 | 0.28 | 56 | Energy Equities | NLY vs VDE | |
| Fidelity MSCI Energy Index ETF | -0.12 | 0.16 | 0.28 | 56 | Energy Equities | NLY vs FENY | |
| iShares iBonds Oct 2026 Term TIPS ETF | -0.11 | 0.05 | 0.05 | 98 | Inflation-Protected Bonds | NLY vs IBIC |
To view more results, upgrade your current subscription plan.
Low-Correlation Stock Ideas
If you're looking for individual stocks that move independently from NLY, these are worth exploring. The table shows U.S. companies ($1B+ market cap) with low correlation to NLY and solid risk/return profiles. The least correlated is ConocoPhillips Company (COP) (Energy) with a 1Y correlation of -0.16, down from 0.20 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Sector |
|---|---|---|---|---|---|---|
| ConocoPhillips Company | -0.16 | 0.08 | 0.20 | 68 | Energy | |
| Exxon Mobil Corporation | -0.16 | 0.08 | 0.21 | 77 | Energy | |
| Occidental Petroleum Corporation | -0.14 | 0.10 | 0.21 | 68 | Energy | |
| Chevron Corporation | -0.12 | 0.10 | 0.22 | 73 | Energy | |
| Energy Transfer LP | -0.10 | 0.21 | 0.31 | 81 | Energy |
To view more results, upgrade your current subscription plan.
Build a portfolio that complements NLY
Add NLY to the Diversification Analyzer to see how it overlaps with your other holdings and which assets balance it best.
Analyze a portfolio with NLY