Looking to diversify beyond TSMU? The ETFs below have the lowest correlation with TSMU — they tend to move on their own, which can help reduce risk when the rest of your portfolio drops. The stock ideas table highlights individual companies that behave independently from TSMU.
Best Diversifiers for TSMU
312 ETFs have low correlation with TSMU (below 0.3), 61 of which are negatively correlated. The least correlated is iShares iBonds Oct 2026 Term TIPS ETF (IBIC) (Inflation-Protected Bonds) with a 1Y correlation of -0.29, roughly unchanged from -0.27 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| iShares iBonds Oct 2026 Term TIPS ETF | -0.29 | -0.27 | -0.27 | 98 | Inflation-Protected Bonds | TSMU vs IBIC | |
| iShares iBonds Oct 2027 Term TIPS ETF | -0.23 | -0.24 | -0.24 | 96 | Inflation-Protected Bonds | TSMU vs IBID | |
| Invesco DB Energy Fund | -0.22 | — | — | 71 | Oil & Gas | TSMU vs DBE | |
| United States Brent Oil Fund LP | -0.20 | -0.05 | -0.05 | 65 | Oil & Gas | TSMU vs BNO | |
| Invesco DB Oil Fund | -0.17 | — | — | 65 | Oil & Gas | TSMU vs DBO |
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