ESP vs TDF: Correlation
How closely do Espey Mfg. & Electronics Corp. (ESP) and Templeton Dragon Fund, Inc. (TDF) trade together? Their weekly returns over three years give a correlation of 0.38, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ESP and TDF?
Over the past 3 years, ESP and TDF moved with a correlation of 0.38, which is moderate. Recent behaviour matches the longer record: 0.38 over 1 year against 0.38 over 3. Over 5 years the correlation is 0.27, and the annualized covariance of weekly returns is 352.8 %².
Few assets follow ESP as closely as TDF, which ranks #3 of 10 tracked partners. Correlation aside, the last 12 months split them widely, with ESP ahead by 36.3 points (+39.7% versus +3.4%). Note the risk asymmetry: ESP runs 1.9 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.
ESP vs TDF: side by side
| ESP (Espey Mfg. & Electronics Corp.) | TDF (Templeton Dragon Fund, Inc.) | |
|---|---|---|
| 1-year return | +39.7% | +3.4% |
| 5-year return | +393.3% | -29.3% |
| Volatility (ann.) | 42.3% | 22.2% |
| Beta vs S&P 500 | 0.97 | 0.64 |
| Max drawdown (3Y) | -29.1% | -22.2% |
| Market cap | – | $0.3B |
| P/E (trailing) | 16.6 | 3.6 |
| Dividend yield | 2.78% | 3.68% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | ESP | TDF |
|---|---|---|
| 2022 | -0.1% | -32.9% |
| 2023 | +35.5% | -20.1% |
| 2024 | +66.8% | +5.5% |
| 2025 | +63.3% | +37.7% |
| 2026 | +35.5% | -1.2% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ESP and TDF good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.38 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between ESP and TDF?
Using weekly returns as of 2026-08-27: 0.38 over 3 years, with 0.38 over the last year and 0.27 over 5 years.
Is TDF a good diversifier for ESP?
Yes, to a useful degree: a correlation of 0.38 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.38 mean?
A reading of 0.38 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/esp-vs-tdf.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/esp-vs-tdf/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: ESP correlations · TDF correlations
