EWJ vs VTV: Correlation & Overlap
How closely do iShares MSCI Japan ETF (EWJ) and Vanguard Value ETF (VTV) trade together? Their weekly returns over three years give a correlation of 0.67, which is strong. Looking through to holdings, 0% of the two portfolios is the same by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are EWJ and VTV?
Over the past 3 years, EWJ and VTV moved with a correlation of 0.67, which is strong. The relationship has been stable: the 1-year correlation (0.67) sits close to the 3-year figure. Over 5 years the correlation is 0.65, and the annualized covariance of weekly returns is 155.6 %².
Within EWJ's tracked universe of 70 assets, VTV comes in at #24 by 3-year correlation. Their 12-month results are close: +27.1% for EWJ against +25.7% for VTV. Across three years, the rolling one-year figure varied moderately, from 0.53 to 0.78. One caveat on sizing: EWJ is 1.6 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
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.
EWJ vs VTV: side by side
| EWJ (iShares MSCI Japan ETF) | VTV (Vanguard Value ETF) | |
|---|---|---|
| 1-year return | +27.1% | +25.7% |
| 5-year return | +58.6% | +79.1% |
| Volatility (ann.) | 19.6% | 11.9% |
| Beta vs S&P 500 | 0.94 | 0.65 |
| Max drawdown (3Y) | -14.7% | -14.5% |
| Dividend yield | 3.86% | 1.86% |
| Expense ratio | 0.49% | 0.03% |
| Assets under management | $21.8B | $256.4B |
| Sector / category | ETF · International | ETF · US Style |
On the fund side, EWJ sits in the Japan Stock category at iShares, with $21.8B under management, 168 holdings, a 0.49% expense ratio, a 3.86% trailing dividend yield. On the fund side, VTV sits in the Large Value category at Vanguard, with $256.4B under management, 308 holdings, a 0.03% expense ratio, a 1.86% trailing dividend yield.
Portfolio overlap between EWJ and VTV
The two portfolios are largely distinct: 0% of the funds' weight sits in the same underlying holdings (0 common positions). Correlation tells you they move together; overlap tells you why.
Largest positions held only by EWJ: 8306 (4.56%), 7203 (3.47%), 6857 (3.12%), 8035 (2.97%), 8316 (2.92%). Only by VTV: JPM (3.51%), MU (3.46%), BRK.B (2.99%), XOM (2.40%), JNJ (2.30%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26.
Year-by-year returns
| Year | EWJ | VTV |
|---|---|---|
| 2022 | -17.7% | -2.1% |
| 2023 | +20.3% | +9.3% |
| 2024 | +7.0% | +16.0% |
| 2025 | +25.8% | +15.3% |
| 2026 | +19.3% | +19.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are EWJ and VTV good diversifiers for each other?
Only partially. A correlation of 0.67 means EWJ and VTV share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between EWJ and VTV?
Using weekly returns as of 2026-08-27: 0.67 over 3 years, with 0.67 over the last year and 0.65 over 5 years.
Is VTV a good diversifier for EWJ?
Only partially. A correlation of 0.67 means EWJ and VTV share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
How much do EWJ and VTV overlap?
The two funds share 0 holdings amounting to 0% of weight, per issuer portfolio files dated 2026-08-26.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/ewj-vs-vtv.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/ewj-vs-vtv/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: EWJ correlations · VTV correlations
