Looking to diversify beyond XHB? The ETFs below have the lowest correlation with XHB — 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 XHB.
Best Diversifiers for XHB
218 ETFs have low correlation with XHB (below 0.3), 29 of which are negatively correlated. The least correlated is ProShares UltraShort Yen (YCS) (Leveraged Currency) with a 1Y correlation of -0.29, down from -0.12 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| ProShares UltraShort Yen | -0.29 | -0.16 | -0.12 | 61 | Leveraged Currency | XHB vs YCS | |
| VanEck Commodity Strategy ETF | -0.19 | -0.04 | -0.01 | 55 | Commodities | XHB vs PIT | |
| iShares iBonds Oct 2026 Term TIPS ETF | -0.18 | 0.01 | 0.01 | 98 | Inflation-Protected Bonds | XHB vs IBIC | |
| First Trust Alternative Absolute Return Strategy E... | -0.18 | -0.06 | -0.04 | 70 | Commodities | XHB vs FAAR | |
| SPDR Bloomberg Enhanced Roll Yield Commodity Strat... | -0.14 | -0.06 | -0.06 | 50 | Commodities | XHB vs CERY |
To view more results, upgrade your current subscription plan.
Low-Correlation Stock Ideas
If you're looking for individual stocks that move independently from XHB, these are worth exploring. The table shows U.S. companies ($1B+ market cap) with low correlation to XHB and solid risk/return profiles. The least correlated is XL Axiata Tbk PT ADR (PTXKY) (Communication Services) with a 1Y correlation of 0.07, roughly unchanged from 0.05 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Sector |
|---|---|---|---|---|---|---|
| XL Axiata Tbk PT ADR | 0.07 | 0.09 | 0.05 | 57 | Communication Services | |
| Bank of America Corporation | 0.38 | 0.42 | 0.48 | 75 | Financial Services | |
| United Parcel Service, Inc. | 0.60 | 0.53 | 0.58 | 56 | Industrials | |
| LGI Homes, Inc. | 0.78 | 0.80 | 0.81 | 50 | Consumer Cyclical | |
| PulteGroup, Inc. | 0.87 | 0.89 | 0.88 | 63 | Consumer Cyclical |
Build a portfolio that complements XHB
Add XHB to the Diversification Analyzer to see how it overlaps with your other holdings and which assets balance it best.
Analyze a portfolio with XHB