Looking to diversify beyond VRE.TO? The ETFs below have the lowest correlation with VRE.TO — 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 VRE.TO.
Best Diversifiers for VRE.TO
2 ETFs have low correlation with VRE.TO (below 0.3), 1 of which are negatively correlated. The least correlated is iShares S&P/TSX Capped Energy Index ETF (XEG.TO) (Energy Equities) with a 1Y correlation of -0.17, down from 0.17 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| iShares S&P/TSX Capped Energy Index ETF | -0.17 | 0.08 | 0.17 | 86 | Energy Equities | VRE.TO vs XEG.TO | |
| iShares S&P/TSX Composite High Dividend Index ETF | 0.29 | 0.54 | 0.57 | 98 | Canada Equities | VRE.TO vs XEI.TO | |
| Vanguard FTSE Developed Asia Pacific All Cap Index... | 0.34 | 0.40 | 0.42 | 85 | Asia Pacific Equities | VRE.TO vs VA.TO | |
| iShares Core MSCI Canadian Quality Dividend Index ... | 0.36 | 0.51 | 0.54 | 98 | Dividend, Large Cap Value Equities | VRE.TO vs XDIV.TO | |
| Vanguard FTSE Canadian High Dividend Yield Index E... | 0.36 | 0.52 | 0.54 | 98 | Dividend | VRE.TO vs VDY.TO |
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Low-Correlation Stock Ideas
If you're looking for individual stocks that move independently from VRE.TO, these are worth exploring. The table shows U.S. companies ($1B+ market cap) with low correlation to VRE.TO and solid risk/return profiles. The least correlated is Enbridge Inc. (ENB.TO) (Energy) with a 1Y correlation of 0.06, down from 0.31 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Sector |
|---|---|---|---|---|---|---|
| Enbridge Inc. | 0.06 | 0.26 | 0.31 | 81 | Energy | |
| SmartCentres Real Estate Investment Trust | 0.72 | 0.76 | 0.79 | 82 | Real Estate |
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