Looking to balance out your exposure to VXZ? The ETFs below have the lowest correlation with VXZ — they tend to move on their own, which can help reduce risk when VXZ drops. The stock ideas table highlights individual companies that behave independently from VXZ.
Best Diversifiers for VXZ
6 ETFs have low correlation with VXZ (below 0.3), 5 of which are negatively correlated. The least correlated is State Street SPDR S&P 500 ETF (SPY) (S&P 500) with a 1Y correlation of -0.66, roughly unchanged from -0.71 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| State Street SPDR S&P 500 ETF | -0.66 | -0.67 | -0.71 | 70 | S&P 500 | VXZ vs SPY | |
| ProShares UltraPro S&P 500 | -0.66 | -0.67 | -0.71 | 62 | Leveraged Equities, S&P 500 | VXZ vs UPRO | |
| Invesco NASDAQ 100 ETF | -0.60 | -0.62 | -0.66 | 74 | Nasdaq-100 | VXZ vs QQQM | |
| Invesco QQQ ETF | -0.59 | -0.62 | -0.66 | 73 | Nasdaq-100 | VXZ vs QQQ | |
| Invesco Ultra Short Duration ETF | -0.11 | -0.08 | -0.05 | 100 | Ultrashort Bond | VXZ vs GSY |
To view more results, upgrade your current subscription plan.
Low-Correlation Stock Ideas
If you're looking for individual stocks that move independently from VXZ, these are worth exploring. The table shows U.S. companies ($1B+ market cap) with low correlation to VXZ and solid risk/return profiles. The least correlated is Lam Research Corporation (LRCX) (Technology) with a 1Y correlation of -0.42, roughly unchanged from -0.49 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Sector |
|---|---|---|---|---|---|---|
| Lam Research Corporation | -0.42 | -0.44 | -0.49 | 98 | Technology | |
| QUALCOMM Incorporated | -0.40 | -0.44 | -0.49 | 79 | Technology | |
| Micron Technology, Inc. | -0.36 | -0.38 | -0.43 | 99 | Technology | |
| AstraZeneca PLC | -0.19 | -0.23 | -0.24 | 70 | Healthcare | |
| Huntington Ingalls Industries, Inc | -0.19 | -0.22 | -0.28 | 62 | Industrials |
To view more results, upgrade your current subscription plan.
Build a portfolio that complements VXZ
Add VXZ to the Diversification Analyzer to see how it overlaps with your other holdings and which assets balance it best.
Analyze a portfolio with VXZ