ARI vs STWD: Correlation
Apollo Commercial Real Estate Finance, Inc (ARI) and STARWOOD PROPERTY TRUST, INC. Starwood Property Trust Inc. (STWD) show a strong relationship: their 3-year correlation of weekly returns is 0.68.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ARI and STWD?
On 3 years of weekly data the ARI/STWD correlation comes out at 0.68, strong. Lately the two have drifted apart, with the 1-year correlation at 0.54 versus 0.68 over 3 years. The 5-year figure is 0.79, and annualized covariance runs at 313.4 %².
STWD is one of the assets that tracks ARI most closely: it ranks #1 out of the 10 assets we track against ARI. Correlation aside, the last 12 months split them widely, with ARI ahead by 23.2 points (+11.4% versus -11.8%).
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.
ARI vs STWD: side by side
| ARI (Apollo Commercial Real Estate Finance, Inc) | STWD (STARWOOD PROPERTY TRUST, INC. Starwood Property Trust Inc.) | |
|---|---|---|
| 1-year return | +11.4% | -11.8% |
| 5-year return | +21.3% | +0.5% |
| Volatility (ann.) | 23.8% | 19.3% |
| Beta vs S&P 500 | 0.64 | 0.65 |
| Max drawdown (3Y) | -24.7% | -15.8% |
| Market cap | $0.9B | $6.1B |
| P/E (trailing) | 8.5 | 27.0 |
| Dividend yield | 14.68% | 12.07% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | ARI | STWD |
|---|---|---|
| 2022 | -7.1% | -17.3% |
| 2023 | +24.5% | +26.7% |
| 2024 | -16.5% | -0.6% |
| 2025 | +23.8% | +4.9% |
| 2026 | +13.3% | -6.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ARI and STWD good diversifiers for each other?
Somewhat, no more. With 0.68 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between ARI and STWD?
Using weekly returns as of 2026-08-27: 0.68 over 3 years, with 0.54 over the last year and 0.79 over 5 years.
Is STWD a good diversifier for ARI?
Somewhat, no more. With 0.68 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.68 mean?
A reading of 0.68 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/ari-vs-stwd.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/ari-vs-stwd/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: ARI correlations · STWD correlations
