FNGD vs STEM: Correlation
MicroSectors FANG Index -3X Inverse Leveraged ETNs due (FNGD) and Stem, Inc. (STEM) show a negative relationship: their 3-year correlation of weekly returns is -0.22.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are FNGD and STEM?
Across a 3-year window, the weekly returns of FNGD and STEM correlate at -0.22, negative, meaning they tend to move in opposite directions. The link has loosened recently: the 1-year correlation (-0.49) runs below the 3-year figure (-0.22). Stretching to 5 years gives -0.31, with an annualized covariance of -2151.1 %².
By 3-year correlation, STEM places #206 of the 1743 assets tracked against FNGD. The trailing year gives FNGD the advantage: -55.7% versus -64.9%, a 9.2-point spread. Note the risk asymmetry: STEM runs 1.7 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.
FNGD vs STEM: side by side
| FNGD (MicroSectors FANG Index -3X Inverse Leveraged ETNs due) | STEM (Stem, Inc.) | |
|---|---|---|
| 1-year return | -55.7% | -64.9% |
| 5-year return | -99.4% | -98.9% |
| Volatility (ann.) | 75.7% | 129.9% |
| Beta vs S&P 500 | -4.54 | 2.49 |
| Max drawdown (3Y) | -97.6% | -95.5% |
| Market cap | – | $0.1B |
| P/E (trailing) | 20.6 | – |
| Dividend yield | 0.00% | 0.00% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | FNGD | STEM |
|---|---|---|
| 2022 | +52.2% | -52.9% |
| 2023 | -90.1% | -56.6% |
| 2024 | -76.6% | -84.5% |
| 2025 | -61.4% | +24.8% |
| 2026 | -49.5% | -62.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are FNGD and STEM good diversifiers for each other?
By historical standards, yes. A correlation of -0.22 means the two rarely move for the same reasons.
FAQ
What is the correlation between FNGD and STEM?
Using weekly returns as of 2026-08-27: -0.22 over 3 years, with -0.49 over the last year and -0.31 over 5 years.
Is STEM a good diversifier for FNGD?
By historical standards, yes. A correlation of -0.22 means the two rarely move for the same reasons.
What does a correlation of -0.22 mean?
On the −1 to +1 scale, -0.22 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/fngd-vs-stem.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/fngd-vs-stem/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: FNGD correlations · STEM correlations
