DNLI vs IBB: Correlation
Denali Therapeutics Inc. (DNLI) and iShares Biotechnology ETF (IBB) show a strong relationship: their 3-year correlation of weekly returns is 0.66.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are DNLI and IBB?
On 3 years of weekly data the DNLI/IBB correlation comes out at 0.66, strong. Recent behaviour matches the longer record: 0.60 over 1 year against 0.66 over 3. The 5-year figure is 0.67, and annualized covariance runs at 831.1 %².
IBB is one of the assets that tracks DNLI most closely: it ranks #2 out of the 25 assets we track against DNLI. Their 12-month results are close: +58.1% for DNLI against +55.4% for IBB. Note the risk asymmetry: DNLI runs 2.9 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.
DNLI vs IBB: side by side
| DNLI (Denali Therapeutics Inc.) | IBB (iShares Biotechnology ETF) | |
|---|---|---|
| 1-year return | +58.1% | +55.4% |
| 5-year return | -53.4% | +26.6% |
| Volatility (ann.) | 60.6% | 20.7% |
| Beta vs S&P 500 | 2.02 | 0.81 |
| Max drawdown (3Y) | -63.7% | -24.9% |
| Market cap | $3.9B | – |
| P/E (trailing) | – | – |
| Dividend yield | 0.00% | 0.22% |
| Expense ratio | – | 0.44% |
| Assets under management | – | $9.2B |
| Sector / category | US Listed | ETF · Thematic |
IBB, iShares's Health fund, carries $9.2B under management, 235 holdings, a 0.44% expense ratio, a 0.22% trailing dividend yield.
Year-by-year returns
| Year | DNLI | IBB |
|---|---|---|
| 2022 | -37.6% | -13.7% |
| 2023 | -22.8% | +3.8% |
| 2024 | -5.0% | -2.4% |
| 2025 | -19.0% | +28.0% |
| 2026 | +49.4% | +27.4% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
Keep in mind that IBB holds DNLI at a 0.25% weight, which makes a slice of this correlation mechanical rather than coincidental.
Are DNLI and IBB good diversifiers for each other?
To a limited degree. At 0.66 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between DNLI and IBB?
Using weekly returns as of 2026-08-27: 0.66 over 3 years, with 0.60 over the last year and 0.67 over 5 years.
Is IBB a good diversifier for DNLI?
To a limited degree. At 0.66 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.66 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/dnli-vs-ibb.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/dnli-vs-ibb/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: DNLI correlations · IBB correlations
