FRME vs VXZ: Correlation
First Merchants Corporation (FRME) and iPath Series B S&P 500 VIX Mid-Term Futures ETN (VXZ) show a negative relationship: their 3-year correlation of weekly returns is -0.48.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are FRME and VXZ?
Over the past 3 years, FRME and VXZ moved with a correlation of -0.48, which is negative, meaning they tend to move in opposite directions. The link has tightened recently: the 1-year correlation (-0.30) runs above the 3-year figure (-0.48). Over 5 years the correlation is -0.45, and the annualized covariance of weekly returns is -365.1 %².
Out of 26 assets tracked against FRME, VXZ lands near the bottom at #26. Correlation aside, the last 12 months split them widely, with FRME ahead by 19.6 points (+3.5% versus -16.1%).
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.
FRME vs VXZ: side by side
| FRME (First Merchants Corporation) | VXZ (iPath Series B S&P 500 VIX Mid-Term Futures ETN) | |
|---|---|---|
| 1-year return | +3.5% | -16.1% |
| 5-year return | +22.0% | -53.1% |
| Volatility (ann.) | 29.8% | 25.6% |
| Beta vs S&P 500 | 0.78 | -1.31 |
| Max drawdown (3Y) | -23.9% | -36.4% |
| Market cap | $2.6B | – |
| P/E (trailing) | 13.4 | – |
| Dividend yield | 3.48% | – |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | FRME | VXZ |
|---|---|---|
| 2022 | +1.1% | +0.5% |
| 2023 | -5.8% | -44.0% |
| 2024 | +11.8% | -12.7% |
| 2025 | -2.5% | +5.7% |
| 2026 | +13.3% | -10.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are FRME and VXZ good diversifiers for each other?
Yes. With a correlation of -0.48, FRME and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between FRME and VXZ?
Using weekly returns as of 2026-08-27: -0.48 over 3 years, with -0.30 over the last year and -0.45 over 5 years.
Is VXZ a good diversifier for FRME?
Yes. With a correlation of -0.48, FRME and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of -0.48 mean?
A reading of -0.48 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/frme-vs-vxz.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/frme-vs-vxz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: FRME correlations · VXZ correlations
