BDJ vs VXZ: Correlation
Measured on weekly returns over the past three years, Blackrock Enhanced Equity Dividend Trust (BDJ) and iPath Series B S&P 500 VIX Mid-Term Futures ETN (VXZ) carry a correlation of -0.61, a negative link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are BDJ and VXZ?
On 3 years of weekly data the BDJ/VXZ correlation comes out at -0.61, negative, meaning they tend to move in opposite directions. The link has loosened recently: the 1-year correlation (-0.72) runs below the 3-year figure (-0.61). The 5-year figure is -0.61, and annualized covariance runs at -236.1 %².
Out of 16 assets tracked against BDJ, VXZ lands near the bottom at #15. Their recent paths diverged sharply: over the last 12 months BDJ outperformed by 35.1 percentage points (+19.0% for BDJ against -16.1% for VXZ). Note the risk asymmetry: VXZ runs 1.7 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 VXZ: side by side
| BDJ (Blackrock Enhanced Equity Dividend Trust) | VXZ (iPath Series B S&P 500 VIX Mid-Term Futures ETN) | |
|---|---|---|
| 1-year return | +19.0% | -16.1% |
| 5-year return | +53.5% | -53.1% |
| Volatility (ann.) | 15.1% | 25.6% |
| Beta vs S&P 500 | 0.72 | -1.31 |
| Max drawdown (3Y) | -14.4% | -36.4% |
| Market cap | $1.7B | – |
| P/E (trailing) | 6.2 | – |
| Dividend yield | 7.57% | – |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | BDJ | VXZ |
|---|---|---|
| 2022 | -1.7% | +0.5% |
| 2023 | -6.7% | -44.0% |
| 2024 | +16.8% | -12.7% |
| 2025 | +26.1% | +5.7% |
| 2026 | +8.9% | -10.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are BDJ and VXZ good diversifiers for each other?
By historical standards, yes. A correlation of -0.61 means the two rarely move for the same reasons.
FAQ
What is the correlation between BDJ and VXZ?
Using weekly returns as of 2026-08-27: -0.61 over 3 years, with -0.72 over the last year and -0.61 over 5 years.
Is VXZ a good diversifier for BDJ?
By historical standards, yes. A correlation of -0.61 means the two rarely move for the same reasons.
What does a correlation of -0.61 mean?
On the −1 to +1 scale, -0.61 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-vxz.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/bdj-vs-vxz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: BDJ correlations · VXZ correlations
