EMR vs IWM: Correlation
Measured on weekly returns over the past three years, Emerson Electric (EMR) and iShares Russell 2000 ETF (IWM) carry a correlation of 0.72, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are EMR and IWM?
Over the past 3 years, EMR and IWM moved with a correlation of 0.72, which is strong. Recent behaviour matches the longer record: 0.69 over 1 year against 0.72 over 3. Over 5 years the correlation is 0.71, and the annualized covariance of weekly returns is 403.3 %².
In EMR's tracked universe of 47 assets, IWM sits right near the top at #3. On 12-month performance IWM holds a 8.4-point edge, +20.0% against +28.4%. The rolling one-year correlation moved between 0.59 and 0.84 over the past three years, a moderate range.
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.
EMR vs IWM: side by side
| EMR (Emerson Electric) | IWM (iShares Russell 2000 ETF) | |
|---|---|---|
| 1-year return | +20.0% | +28.4% |
| 5-year return | +65.4% | +41.5% |
| Volatility (ann.) | 28.3% | 19.8% |
| Beta vs S&P 500 | 1.29 | 1.06 |
| Max drawdown (3Y) | -29.6% | -27.5% |
| Market cap | $88.0B | – |
| P/E (trailing) | 34.5 | – |
| Dividend yield | 1.39% | 0.91% |
| Expense ratio | – | 0.19% |
| Assets under management | – | $80.1B |
| Sector / category | Industrials | ETF · US Small & Mid Cap |
IWM, iShares's Small Blend fund, carries $80.1B under management, 1757 holdings, a 0.19% expense ratio, a 0.91% trailing dividend yield.
Year-by-year returns
| Year | EMR | IWM |
|---|---|---|
| 2022 | +5.7% | -20.5% |
| 2023 | +3.8% | +16.8% |
| 2024 | +29.7% | +11.4% |
| 2025 | +8.9% | +12.7% |
| 2026 | +20.2% | +22.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are EMR and IWM good diversifiers for each other?
Somewhat, no more. With 0.72 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between EMR and IWM?
As of 2026-08-27, the correlation of weekly returns between EMR and IWM is 0.72 over 3 years, 0.69 over 1 year and 0.71 over 5 years.
Is IWM a good diversifier for EMR?
Somewhat, no more. With 0.72 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.72 mean?
On the −1 to +1 scale, 0.72 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/emr-vs-iwm.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/emr-vs-iwm/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: EMR correlations · IWM correlations
