CF vs SHY: Correlation
How closely do CF Industries (CF) and iShares 1-3 Year Treasury Bond ETF (SHY) trade together? Their weekly returns over three years give a correlation of -0.24, which is negative.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are CF and SHY?
Over the past 3 years, CF and SHY moved with a correlation of -0.24, which is negative, meaning they tend to move in opposite directions. The past 12 months show a weaker link (-0.50) than the 3-year average (-0.24). Over 5 years the correlation is -0.17, and the annualized covariance of weekly returns is -12.5 %².
Out of 50 assets tracked against CF, SHY lands near the bottom at #46. Correlation aside, the last 12 months split them widely, with CF ahead by 46.1 points (+48.6% versus +2.5%). This link changes with the market regime, having swung between -0.50 and 0.07 on a rolling one-year basis. Note the risk asymmetry: CF runs 20.5 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.
CF vs SHY: side by side
| CF (CF Industries) | SHY (iShares 1-3 Year Treasury Bond ETF) | |
|---|---|---|
| 1-year return | +48.6% | +2.5% |
| 5-year return | +211.5% | +9.6% |
| Volatility (ann.) | 32.8% | 1.6% |
| Beta vs S&P 500 | -0.20 | 0.00 |
| Max drawdown (3Y) | -29.2% | -1.0% |
| Market cap | $19.0B | – |
| P/E (trailing) | 9.3 | – |
| Dividend yield | 1.59% | 3.65% |
| Expense ratio | – | 0.15% |
| Assets under management | – | $25.1B |
| Sector / category | Materials | ETF · Bonds |
SHY, iShares's Short Government fund, carries $25.1B under management, a 0.15% expense ratio, a 3.65% trailing dividend yield.
Year-by-year returns
| Year | CF | SHY |
|---|---|---|
| 2022 | +22.3% | -3.9% |
| 2023 | -4.7% | +4.2% |
| 2024 | +10.1% | +3.9% |
| 2025 | -7.2% | +5.0% |
| 2026 | +64.9% | +1.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are CF and SHY good diversifiers for each other?
Yes. With a correlation of -0.24, CF and SHY have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between CF and SHY?
Using weekly returns as of 2026-08-27: -0.24 over 3 years, with -0.50 over the last year and -0.17 over 5 years.
Is SHY a good diversifier for CF?
Yes. With a correlation of -0.24, CF and SHY have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of -0.24 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/cf-vs-shy.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/cf-vs-shy/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: CF correlations · SHY correlations
