Looking to balance out your exposure to PDM? The ETFs below have the lowest correlation with PDM — they tend to move on their own, which can help reduce risk when PDM drops. The stock ideas table highlights individual companies that behave independently from PDM.
Best Diversifiers for PDM
2 ETFs have low correlation with PDM (below 0.3), 0 of which are negatively correlated. The least correlated is Vanguard Information Technology ETF (VGT) (Technology Equities) with a 1Y correlation of 0.17, down from 0.35 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| Vanguard Information Technology ETF | 0.17 | 0.28 | 0.35 | 76 | Technology Equities | PDM vs VGT | |
| Vanguard S&P 500 ETF | 0.30 | 0.42 | 0.48 | 74 | S&P 500 | PDM vs VOO | |
| State Street SPDR S&P 500 ETF | 0.30 | 0.42 | 0.48 | 74 | S&P 500 | PDM vs SPY |
Low-Correlation Stock Ideas
If you're looking for individual stocks that move independently from PDM, these are worth exploring. The table shows U.S. companies ($1B+ market cap) with low correlation to PDM and solid risk/return profiles. The least correlated is DHT Holdings, Inc. (DHT) (Energy) with a 1Y correlation of 0.14, roughly unchanged from 0.15 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Sector |
|---|---|---|---|---|---|---|
| DHT Holdings, Inc. | 0.14 | 0.10 | 0.15 | 82 | Energy | |
| Kimco Realty Corporation | 0.50 | 0.58 | 0.64 | 70 | Real Estate |
Build a portfolio that complements PDM
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