ARCC vs TPVG: Correlation
How closely do Ares Capital Corporation - Closed End Fund (ARCC) and TriplePoint Venture Growth BDC Corp. (TPVG) trade together? Their weekly returns over three years give a correlation of 0.64, which is strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ARCC and TPVG?
On 3 years of weekly data the ARCC/TPVG correlation comes out at 0.64, strong. The link has tightened recently: the 1-year correlation (0.78) runs above the 3-year figure (0.64). The 5-year figure is 0.64, and annualized covariance runs at 343.9 %².
Among the 31 assets we track against ARCC, TPVG ranks #20 by 3-year correlation. Neither side won the trailing year by much: -1.8% against -5.1%. One caveat on sizing: TPVG is 2.1 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
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 TPVG: side by side
| ARCC (Ares Capital Corporation - Closed End Fund) | TPVG (TriplePoint Venture Growth BDC Corp.) | |
|---|---|---|
| 1-year return | -1.8% | -5.1% |
| 5-year return | +59.8% | -31.0% |
| Volatility (ann.) | 15.8% | 33.8% |
| Beta vs S&P 500 | 0.62 | 1.06 |
| Max drawdown (3Y) | -19.3% | -43.4% |
| Market cap | $14.3B | $0.2B |
| P/E (trailing) | 14.8 | 5.4 |
| Dividend yield | 9.65% | 17.29% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | ARCC | TPVG |
|---|---|---|
| 2022 | -3.8% | -34.7% |
| 2023 | +20.0% | +20.3% |
| 2024 | +19.8% | -20.0% |
| 2025 | +1.1% | +3.9% |
| 2026 | +3.5% | -10.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ARCC and TPVG good diversifiers for each other?
To a limited degree. At 0.64 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between ARCC and TPVG?
The ARCC/TPVG correlation stands at 0.64 on a 3-year window (1 year: 0.78, 5 years: 0.64), computed from weekly returns as of 2026-08-27.
Is TPVG a good diversifier for ARCC?
To a limited degree. At 0.64 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.64 mean?
On the −1 to +1 scale, 0.64 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
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Related comparisons
Hubs: ARCC correlations · TPVG correlations
