ARKK vs LMND: Correlation
How closely do ARK Innovation ETF (ARKK) and Lemonade, Inc. (LMND) trade together? Their weekly returns over three years give a correlation of 0.49, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ARKK and LMND?
Over the past 3 years, ARKK and LMND moved with a correlation of 0.49, which is moderate. The relationship has been stable: the 1-year correlation (0.46) sits close to the 3-year figure. Over 5 years the correlation is 0.60, and the annualized covariance of weekly returns is 1594.9 %².
Within ARKK's tracked universe of 122 assets, LMND comes in at #70 by 3-year correlation. The last year tells two different stories: ARKK led by 15.8 percentage points, +15.7% for ARKK against -0.1% for LMND. Risk is not evenly split, since LMND carries 2.2 times the volatility of the other side.
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.
ARKK vs LMND: side by side
| ARKK (ARK Innovation ETF) | LMND (Lemonade, Inc.) | |
|---|---|---|
| 1-year return | +15.7% | -0.1% |
| 5-year return | -27.7% | -28.5% |
| Volatility (ann.) | 38.8% | 84.2% |
| Beta vs S&P 500 | 2.07 | 2.01 |
| Max drawdown (3Y) | -39.6% | -51.5% |
| Market cap | – | $4.2B |
| P/E (trailing) | – | – |
| Dividend yield | – | 0.00% |
| Sector / category | ETF · Thematic | US Listed |
Year-by-year returns
| Year | ARKK | LMND |
|---|---|---|
| 2022 | -67.0% | -67.5% |
| 2023 | +69.0% | +17.9% |
| 2024 | +8.4% | +127.4% |
| 2025 | +35.5% | +94.1% |
| 2026 | +13.6% | -24.2% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ARKK and LMND good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.49 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between ARKK and LMND?
As of 2026-08-27, the correlation of weekly returns between ARKK and LMND is 0.49 over 3 years, 0.46 over 1 year and 0.60 over 5 years.
Is LMND a good diversifier for ARKK?
Yes, to a useful degree: a correlation of 0.49 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.49 mean?
A reading of 0.49 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/arkk-vs-lmnd.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/arkk-vs-lmnd/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: ARKK correlations · LMND correlations
