ETO vs VEA: Correlation
Eaton Vance Tax-Advantage Global Dividend Opp (ETO) and Vanguard FTSE Developed Markets ETF (VEA) show a very strong relationship: their 3-year correlation of weekly returns is 0.86.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ETO and VEA?
Across a 3-year window, the weekly returns of ETO and VEA correlate at 0.86, very strong, meaning they move nearly in lockstep. The relationship has been stable: the 1-year correlation (0.85) sits close to the 3-year figure. Stretching to 5 years gives 0.83, with an annualized covariance of 216.5 %².
Among the 38 assets we track against ETO, VEA ranks #9 by 3-year correlation. Their 12-month results are close: +24.4% for ETO against +28.5% for VEA.
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.
ETO vs VEA: side by side
| ETO (Eaton Vance Tax-Advantage Global Dividend Opp) | VEA (Vanguard FTSE Developed Markets ETF) | |
|---|---|---|
| 1-year return | +24.4% | +28.5% |
| 5-year return | +43.6% | +63.5% |
| Volatility (ann.) | 16.6% | 15.1% |
| Beta vs S&P 500 | 1.02 | 0.79 |
| Max drawdown (3Y) | -18.2% | -13.5% |
| Market cap | $0.5B | – |
| P/E (trailing) | 3.8 | – |
| Dividend yield | 6.57% | 2.56% |
| Expense ratio | – | 0.03% |
| Assets under management | – | $314.9B |
| Sector / category | US Listed | ETF · International |
VEA is a Foreign Large Blend fund from Vanguard: $314.9B under management, 3769 holdings, a 0.03% expense ratio, a 2.56% trailing dividend yield.
Year-by-year returns
| Year | ETO | VEA |
|---|---|---|
| 2022 | -30.0% | -15.3% |
| 2023 | +21.5% | +17.9% |
| 2024 | +15.5% | +3.1% |
| 2025 | +29.9% | +35.2% |
| 2026 | +9.4% | +18.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ETO and VEA good diversifiers for each other?
No. With a correlation of 0.86, ETO and VEA move nearly in lockstep, so holding both adds very little diversification.
FAQ
What is the correlation between ETO and VEA?
The ETO/VEA correlation stands at 0.86 on a 3-year window (1 year: 0.85, 5 years: 0.83), computed from weekly returns as of 2026-08-27.
Is VEA a good diversifier for ETO?
No. With a correlation of 0.86, ETO and VEA move nearly in lockstep, so holding both adds very little diversification.
What does a correlation of 0.86 mean?
On the −1 to +1 scale, 0.86 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/eto-vs-vea.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/eto-vs-vea/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: ETO correlations · VEA correlations
