COST vs USMV: Correlation
Costco (COST) and iShares MSCI USA Min Vol Factor ETF (USMV) show a moderate relationship: their 3-year correlation of weekly returns is 0.40.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are COST and USMV?
Over the past 3 years, COST and USMV moved with a correlation of 0.40, which is moderate. The past 12 months show a weaker link (0.28) than the 3-year average (0.40). Over 5 years the correlation is 0.59, and the annualized covariance of weekly returns is 79.0 %².
Among the 33 assets we track against COST, USMV ranks #10 by 3-year correlation. On 12-month performance USMV holds a 11.1-point edge, -1.0% against +10.1%. On a rolling one-year basis the correlation drifted between 0.23 and 0.67, a moderate band. Note the risk asymmetry: COST runs 2.0 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.
COST vs USMV: side by side
| COST (Costco) | USMV (iShares MSCI USA Min Vol Factor ETF) | |
|---|---|---|
| 1-year return | -1.0% | +10.1% |
| 5-year return | +116.3% | +42.3% |
| Volatility (ann.) | 19.8% | 9.9% |
| Beta vs S&P 500 | 0.45 | 0.51 |
| Max drawdown (3Y) | -20.7% | -9.4% |
| Market cap | $414.5B | – |
| P/E (trailing) | 48.1 | – |
| Dividend yield | 0.56% | 1.48% |
| Expense ratio | – | 0.15% |
| Assets under management | – | $23.6B |
| Sector / category | Consumer Staples | ETF · US Style |
USMV, iShares's Large Blend fund, carries $23.6B under management, 164 holdings, a 0.15% expense ratio, a 1.48% trailing dividend yield.
Year-by-year returns
| Year | COST | USMV |
|---|---|---|
| 2022 | -19.0% | -9.4% |
| 2023 | +49.0% | +10.3% |
| 2024 | +39.6% | +15.7% |
| 2025 | -5.4% | +7.6% |
| 2026 | +8.9% | +9.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
Keep in mind that USMV holds COST at a 0.28% weight, which makes a slice of this correlation mechanical rather than coincidental.
Are COST and USMV good diversifiers for each other?
Reasonably. At 0.40, COST and USMV keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
FAQ
What is the correlation between COST and USMV?
As of 2026-08-27, the correlation of weekly returns between COST and USMV is 0.40 over 3 years, 0.28 over 1 year and 0.59 over 5 years.
Is USMV a good diversifier for COST?
Reasonably. At 0.40, COST and USMV keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
What does a correlation of 0.40 mean?
On the −1 to +1 scale, 0.40 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/cost-vs-usmv.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/cost-vs-usmv/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: COST correlations · USMV correlations
