AER vs IEFA: Correlation
AerCap Holdings N.V. (AER) and iShares Core MSCI EAFE ETF (IEFA) show a strong relationship: their 3-year correlation of weekly returns is 0.62.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are AER and IEFA?
Across a 3-year window, the weekly returns of AER and IEFA correlate at 0.62, strong. Recent behaviour matches the longer record: 0.60 over 1 year against 0.62 over 3. Stretching to 5 years gives 0.66, with an annualized covariance of 203.1 %².
In AER's tracked universe of 11 assets, IEFA sits right near the top at #3. Their 12-month results are close: +21.4% for AER against +21.8% for IEFA.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
AER vs IEFA: side by side
| AER (AerCap Holdings N.V.) | IEFA (iShares Core MSCI EAFE ETF) | |
|---|---|---|
| 1-year return | +21.4% | +21.8% |
| 5-year return | +178.9% | +54.5% |
| Volatility (ann.) | 22.0% | 15.0% |
| Beta vs S&P 500 | 0.79 | 0.77 |
| Max drawdown (3Y) | -15.7% | -13.8% |
| Market cap | $23.3B | – |
| P/E (trailing) | 7.4 | – |
| Dividend yield | 0.98% | 3.35% |
| Expense ratio | – | 0.07% |
| Assets under management | – | $190.1B |
| Sector / category | US Listed | ETF · International |
IEFA, iShares's Foreign Large Blend fund, carries $190.1B under management, 1620 holdings, a 0.07% expense ratio, a 3.35% trailing dividend yield.
Year-by-year returns
| Year | AER | IEFA |
|---|---|---|
| 2022 | -10.9% | -15.2% |
| 2023 | +27.4% | +18.0% |
| 2024 | +29.8% | +3.3% |
| 2025 | +51.4% | +32.1% |
| 2026 | +3.8% | +14.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
Keep in mind that IEFA holds AER at a 0.09% weight, which makes a slice of this correlation mechanical rather than coincidental.
Are AER and IEFA good diversifiers for each other?
Only partially. A correlation of 0.62 means AER and IEFA share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between AER and IEFA?
Using weekly returns as of 2026-08-27: 0.62 over 3 years, with 0.60 over the last year and 0.66 over 5 years.
Is IEFA a good diversifier for AER?
Only partially. A correlation of 0.62 means AER and IEFA share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.62 mean?
On the −1 to +1 scale, 0.62 describes how much the two returns move together: +1 is lockstep, 0 is independence, negative values mean opposite directions. It says nothing about which performed better.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/aer-vs-iefa.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/aer-vs-iefa/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: AER correlations · IEFA correlations
