BGY vs IEFA: Correlation
How closely do Blackrock Enhanced International Dividend Trust (BGY) and iShares Core MSCI EAFE ETF (IEFA) trade together? Their weekly returns over three years give a correlation of 0.84, which is very strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are BGY and IEFA?
Over the past 3 years, BGY and IEFA moved with a correlation of 0.84, which is very strong, meaning they move nearly in lockstep. The relationship has been stable: the 1-year correlation (0.91) sits close to the 3-year figure. Over 5 years the correlation is 0.86, and the annualized covariance of weekly returns is 196.6 %².
IEFA is one of the assets that tracks BGY most closely: it ranks #3 out of the 13 assets we track against BGY. The trailing year gives IEFA the advantage: +11.9% versus +21.8%, a 9.9-point spread.
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.
BGY vs IEFA: side by side
| BGY (Blackrock Enhanced International Dividend Trust) | IEFA (iShares Core MSCI EAFE ETF) | |
|---|---|---|
| 1-year return | +11.9% | +21.8% |
| 5-year return | +38.4% | +54.5% |
| Volatility (ann.) | 15.7% | 15.0% |
| Beta vs S&P 500 | 0.77 | 0.77 |
| Max drawdown (3Y) | -15.5% | -13.8% |
| Market cap | $0.5B | – |
| P/E (trailing) | 6.6 | – |
| Dividend yield | 8.63% | 3.35% |
| Expense ratio | – | 0.07% |
| Assets under management | – | $190.1B |
| Sector / category | US Listed | ETF · International |
IEFA, iShares's Foreign Large Blend fund, carries $190.1B under management, 1620 holdings, a 0.07% expense ratio, a 3.35% trailing dividend yield.
Year-by-year returns
| Year | BGY | IEFA |
|---|---|---|
| 2022 | -13.6% | -15.2% |
| 2023 | +13.4% | +18.0% |
| 2024 | +8.7% | +3.3% |
| 2025 | +21.3% | +32.1% |
| 2026 | +6.4% | +14.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are BGY and IEFA good diversifiers for each other?
No. With a correlation of 0.84, BGY and IEFA move nearly in lockstep, so holding both adds very little diversification.
FAQ
What is the correlation between BGY and IEFA?
As of 2026-08-27, the correlation of weekly returns between BGY and IEFA is 0.84 over 3 years, 0.91 over 1 year and 0.86 over 5 years.
Is IEFA a good diversifier for BGY?
No. With a correlation of 0.84, BGY and IEFA move nearly in lockstep, so holding both adds very little diversification.
What does a correlation of 0.84 mean?
On the −1 to +1 scale, 0.84 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/bgy-vs-iefa.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/bgy-vs-iefa/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: BGY correlations · IEFA correlations
