ESE vs VXZ: Correlation
ESCO Technologies Inc. (ESE) and iPath Series B S&P 500 VIX Mid-Term Futures ETN (VXZ) show a negative relationship: their 3-year correlation of weekly returns is -0.37.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ESE and VXZ?
Across a 3-year window, the weekly returns of ESE and VXZ correlate at -0.37, negative, meaning they tend to move in opposite directions. The link has tightened recently: the 1-year correlation (-0.10) runs above the 3-year figure (-0.37). Stretching to 5 years gives -0.43, with an annualized covariance of -279.7 %².
Out of 11 assets tracked against ESE, VXZ lands near the bottom at #11. The last year tells two different stories: ESE led by 58.1 percentage points, +42.0% for ESE against -16.1% for VXZ.
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.
ESE vs VXZ: side by side
| ESE (ESCO Technologies Inc.) | VXZ (iPath Series B S&P 500 VIX Mid-Term Futures ETN) | |
|---|---|---|
| 1-year return | +42.0% | -16.1% |
| 5-year return | +214.2% | -53.1% |
| Volatility (ann.) | 29.6% | 25.6% |
| Beta vs S&P 500 | 0.79 | -1.31 |
| Max drawdown (3Y) | -22.3% | -36.4% |
| Market cap | $7.3B | – |
| P/E (trailing) | 52.3 | – |
| Dividend yield | 0.11% | – |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | ESE | VXZ |
|---|---|---|
| 2022 | -2.3% | +0.5% |
| 2023 | +34.1% | -44.0% |
| 2024 | +14.1% | -12.7% |
| 2025 | +47.0% | +5.7% |
| 2026 | +44.2% | -10.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ESE and VXZ good diversifiers for each other?
Yes. With a correlation of -0.37, ESE and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between ESE and VXZ?
As of 2026-08-27, the correlation of weekly returns between ESE and VXZ is -0.37 over 3 years, -0.10 over 1 year and -0.43 over 5 years.
Is VXZ a good diversifier for ESE?
Yes. With a correlation of -0.37, ESE and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of -0.37 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/ese-vs-vxz.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/ese-vs-vxz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: ESE correlations · VXZ correlations
