ETY vs VUG: Correlation
Eaton Vance Tax-Managed Diversified Equity Income Fund (ETY) and Vanguard Growth ETF (VUG) show a very strong relationship: their 3-year correlation of weekly returns is 0.88.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ETY and VUG?
Over the past 3 years, ETY and VUG moved with a correlation of 0.88, which is very strong, meaning they move nearly in lockstep. Little has changed lately, as the 1-year reading of 0.85 lands near the 3-year figure. Over 5 years the correlation is 0.85, and the annualized covariance of weekly returns is 264.4 %².
Within ETY's tracked universe of 34 assets, VUG comes in at #8 by 3-year correlation. Their recent paths diverged sharply: over the last 12 months VUG outperformed by 16.6 percentage points (-0.4% for ETY against +16.2% for VUG).
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.
ETY vs VUG: side by side
| ETY (Eaton Vance Tax-Managed Diversified Equity Income Fund) | VUG (Vanguard Growth ETF) | |
|---|---|---|
| 1-year return | -0.4% | +16.2% |
| 5-year return | +51.2% | +78.4% |
| Volatility (ann.) | 15.4% | 19.4% |
| Beta vs S&P 500 | 0.97 | 1.28 |
| Max drawdown (3Y) | -21.3% | -22.8% |
| Market cap | – | – |
| P/E (trailing) | 5.2 | – |
| Dividend yield | 8.24% | 0.40% |
| Expense ratio | – | 0.03% |
| Assets under management | – | $372.0B |
| Sector / category | US Listed | ETF · US Style |
VUG, Vanguard's Large Growth fund, carries $372.0B under management, 146 holdings, a 0.03% expense ratio, a 0.40% trailing dividend yield.
Year-by-year returns
| Year | ETY | VUG |
|---|---|---|
| 2022 | -21.2% | -33.2% |
| 2023 | +21.9% | +46.8% |
| 2024 | +33.1% | +32.7% |
| 2025 | +11.0% | +19.4% |
| 2026 | +0.2% | +9.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ETY and VUG good diversifiers for each other?
Not really. At 0.88, the two trade almost as one position, and owning both buys little extra protection.
FAQ
What is the correlation between ETY and VUG?
As of 2026-08-27, the correlation of weekly returns between ETY and VUG is 0.88 over 3 years, 0.85 over 1 year and 0.85 over 5 years.
Is VUG a good diversifier for ETY?
Not really. At 0.88, the two trade almost as one position, and owning both buys little extra protection.
What does a correlation of 0.88 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/ety-vs-vug.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/ety-vs-vug/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: ETY correlations · VUG correlations
