BFH vs VXZ: Correlation
Bread Financial Holdings, Inc. (BFH) and iPath Series B S&P 500 VIX Mid-Term Futures ETN (VXZ) show a negative relationship: their 3-year correlation of weekly returns is -0.47.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are BFH and VXZ?
Over the past 3 years, BFH and VXZ moved with a correlation of -0.47, which is negative, meaning they tend to move in opposite directions. Lately the two have moved closer together, with the 1-year correlation at -0.29 versus -0.47 over 3 years. Over 5 years the correlation is -0.46, and the annualized covariance of weekly returns is -502.1 %².
VXZ is close to the least connected end of BFH's tracked universe, ranking #10 of 11. The last year tells two different stories: BFH led by 82.9 percentage points, +66.8% for BFH against -16.1% for VXZ. One caveat on sizing: BFH is 1.6 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.
BFH vs VXZ: side by side
| BFH (Bread Financial Holdings, Inc.) | VXZ (iPath Series B S&P 500 VIX Mid-Term Futures ETN) | |
|---|---|---|
| 1-year return | +66.8% | -16.1% |
| 5-year return | +55.9% | -53.1% |
| Volatility (ann.) | 42.0% | 25.6% |
| Beta vs S&P 500 | 1.26 | -1.31 |
| Max drawdown (3Y) | -36.7% | -36.4% |
| Market cap | $4.2B | – |
| P/E (trailing) | 8.3 | – |
| Dividend yield | 0.84% | – |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | BFH | VXZ |
|---|---|---|
| 2022 | -42.4% | +0.5% |
| 2023 | -10.2% | -44.0% |
| 2024 | +89.0% | -12.7% |
| 2025 | +23.1% | +5.7% |
| 2026 | +46.7% | -10.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are BFH and VXZ good diversifiers for each other?
Yes. With a correlation of -0.47, BFH and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between BFH and VXZ?
The BFH/VXZ correlation stands at -0.47 on a 3-year window (1 year: -0.29, 5 years: -0.46), computed from weekly returns as of 2026-08-27.
Is VXZ a good diversifier for BFH?
Yes. With a correlation of -0.47, BFH and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of -0.47 mean?
On the −1 to +1 scale, -0.47 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/bfh-vs-vxz.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/bfh-vs-vxz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: BFH correlations · VXZ correlations
