CSWC vs HTGC: Correlation
Measured on weekly returns over the past three years, Capital Southwest Corporation (CSWC) and Hercules Capital, Inc. (HTGC) carry a correlation of 0.70, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are CSWC and HTGC?
On 3 years of weekly data the CSWC/HTGC correlation comes out at 0.70, strong. Recent behaviour matches the longer record: 0.74 over 1 year against 0.70 over 3. The 5-year figure is 0.66, and annualized covariance runs at 315.2 %².
Within CSWC's tracked universe of 17 assets, HTGC comes in at #5 by 3-year correlation. Correlation aside, the last 12 months split them widely, with CSWC ahead by 24.1 points (+25.5% versus +1.4%).
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.
CSWC vs HTGC: side by side
| CSWC (Capital Southwest Corporation) | HTGC (Hercules Capital, Inc.) | |
|---|---|---|
| 1-year return | +25.5% | +1.4% |
| 5-year return | +72.3% | +82.3% |
| Volatility (ann.) | 20.0% | 22.4% |
| Beta vs S&P 500 | 0.64 | 0.79 |
| Max drawdown (3Y) | -27.7% | -28.0% |
| Market cap | $1.6B | $3.3B |
| P/E (trailing) | 14.0 | 8.7 |
| Dividend yield | 9.20% | 9.07% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | CSWC | HTGC |
|---|---|---|
| 2022 | -24.4% | -9.5% |
| 2023 | +56.1% | +42.9% |
| 2024 | +2.1% | +32.8% |
| 2025 | +14.3% | +3.5% |
| 2026 | +23.1% | +1.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are CSWC and HTGC good diversifiers for each other?
Only partially. A correlation of 0.70 means CSWC and HTGC share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between CSWC and HTGC?
As of 2026-08-27, the correlation of weekly returns between CSWC and HTGC is 0.70 over 3 years, 0.74 over 1 year and 0.66 over 5 years.
Is HTGC a good diversifier for CSWC?
Only partially. A correlation of 0.70 means CSWC and HTGC share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.70 mean?
On the −1 to +1 scale, 0.70 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/cswc-vs-htgc.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/cswc-vs-htgc/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: CSWC correlations · HTGC correlations
