Looking to balance out your exposure to OXSQ? The ETFs below have the lowest correlation with OXSQ — they tend to move on their own, which can help reduce risk when OXSQ drops. The stock ideas table highlights individual companies that behave independently from OXSQ.
Best Diversifiers for OXSQ
3 ETFs have low correlation with OXSQ (below 0.3), 0 of which are negatively correlated. The least correlated is Schwab U.S. Dividend Equity ETF (SCHD) (Dividend) with a 1Y correlation of 0.10, down from 0.30 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| Schwab U.S. Dividend Equity ETF | 0.10 | 0.23 | 0.30 | 80 | Dividend | OXSQ vs SCHD | |
| WisdomTree U.S. Quality Dividend Growth Fund | 0.19 | 0.25 | 0.30 | 60 | Dividend, Large Cap Growth Equities | OXSQ vs DGRW | |
| Invesco QQQ ETF | 0.24 | 0.20 | 0.28 | 73 | Nasdaq-100 | OXSQ vs QQQ |
Low-Correlation Stock Ideas
If you're looking for individual stocks that move independently from OXSQ, these are worth exploring. The table shows U.S. companies ($1B+ market cap) with low correlation to OXSQ and solid risk/return profiles. The least correlated is Ellington Financial Inc. (EFC) (Real Estate) with a 1Y correlation of 0.13, down from 0.34 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Sector |
|---|---|---|---|---|---|---|
| Ellington Financial Inc. | 0.13 | 0.27 | 0.34 | 69 | Real Estate | |
| Orchid Island Capital, Inc. | 0.22 | 0.27 | 0.33 | 61 | Real Estate | |
| Trinity Capital Inc. | 0.38 | 0.31 | 0.31 | 80 | Financial Services | |
| Capital Southwest Corporation | 0.40 | 0.34 | 0.39 | 76 | Financial Services |
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