BDJ vs SCHW: Correlation
How closely do Blackrock Enhanced Equity Dividend Trust (BDJ) and Charles Schwab Corporation (SCHW) trade together? Their weekly returns over three years give a correlation of 0.56, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are BDJ and SCHW?
Across a 3-year window, the weekly returns of BDJ and SCHW correlate at 0.56, moderate. The link has loosened recently: the 1-year correlation (0.32) runs below the 3-year figure (0.56). Stretching to 5 years gives 0.55, with an annualized covariance of 234.1 %².
By 3-year correlation, SCHW places #8 of the 16 assets tracked against BDJ. The trailing year gives BDJ the advantage: +19.0% versus +13.0%, a 6.0-point spread. Note the risk asymmetry: SCHW runs 1.8 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
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.
BDJ vs SCHW: side by side
| BDJ (Blackrock Enhanced Equity Dividend Trust) | SCHW (Charles Schwab Corporation) | |
|---|---|---|
| 1-year return | +19.0% | +13.0% |
| 5-year return | +53.5% | +57.3% |
| Volatility (ann.) | 15.1% | 27.8% |
| Beta vs S&P 500 | 0.72 | 0.93 |
| Max drawdown (3Y) | -14.4% | -21.4% |
| Market cap | $1.7B | $186.9B |
| P/E (trailing) | 6.2 | 19.9 |
| Dividend yield | 7.57% | 1.08% |
| Sector / category | US Listed | Financials |
Year-by-year returns
| Year | BDJ | SCHW |
|---|---|---|
| 2022 | -1.7% | +0.1% |
| 2023 | -6.7% | -16.0% |
| 2024 | +16.8% | +9.2% |
| 2025 | +26.1% | +36.6% |
| 2026 | +8.9% | +9.2% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are BDJ and SCHW good diversifiers for each other?
Only partially. A correlation of 0.56 means BDJ and SCHW 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 BDJ and SCHW?
The BDJ/SCHW correlation stands at 0.56 on a 3-year window (1 year: 0.32, 5 years: 0.55), computed from weekly returns as of 2026-08-27.
Is SCHW a good diversifier for BDJ?
Only partially. A correlation of 0.56 means BDJ and SCHW share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.56 mean?
On the −1 to +1 scale, 0.56 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/bdj-vs-schw.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/bdj-vs-schw/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: BDJ correlations · SCHW correlations
