ARCC vs GBDC: Correlation
Measured on weekly returns over the past three years, Ares Capital Corporation - Closed End Fund (ARCC) and Golub Capital BDC, Inc. - Closed End Fund (GBDC) carry a correlation of 0.80, a very strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ARCC and GBDC?
Over the past 3 years, ARCC and GBDC moved with a correlation of 0.80, which is very strong, meaning they move nearly in lockstep. The relationship has been stable: the 1-year correlation (0.82) sits close to the 3-year figure. Over 5 years the correlation is 0.76, and the annualized covariance of weekly returns is 199.3 %².
GBDC is one of the assets that tracks ARCC most closely: it ranks #3 out of the 31 assets we track against ARCC. Neither side won the trailing year by much: -1.8% against -1.2%.
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.
ARCC vs GBDC: side by side
| ARCC (Ares Capital Corporation - Closed End Fund) | GBDC (Golub Capital BDC, Inc. - Closed End Fund) | |
|---|---|---|
| 1-year return | -1.8% | -1.2% |
| 5-year return | +59.8% | +39.0% |
| Volatility (ann.) | 15.8% | 15.8% |
| Beta vs S&P 500 | 0.62 | 0.47 |
| Max drawdown (3Y) | -19.3% | -18.2% |
| Market cap | $14.3B | $3.4B |
| P/E (trailing) | 14.8 | 19.8 |
| Dividend yield | 9.65% | 10.98% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | ARCC | GBDC |
|---|---|---|
| 2022 | -3.8% | -7.0% |
| 2023 | +20.0% | +27.7% |
| 2024 | +19.8% | +13.6% |
| 2025 | +1.1% | -0.5% |
| 2026 | +3.5% | +1.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ARCC and GBDC good diversifiers for each other?
Not really. At 0.80, the two trade almost as one position, and owning both buys little extra protection.
FAQ
What is the correlation between ARCC and GBDC?
The ARCC/GBDC correlation stands at 0.80 on a 3-year window (1 year: 0.82, 5 years: 0.76), computed from weekly returns as of 2026-08-27.
Is GBDC a good diversifier for ARCC?
Not really. At 0.80, the two trade almost as one position, and owning both buys little extra protection.
What does a correlation of 0.80 mean?
On the −1 to +1 scale, 0.80 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/arcc-vs-gbdc.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/arcc-vs-gbdc/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: ARCC correlations · GBDC correlations
