FXI vs KWEB: Correlation
iShares China Large-Cap ETF (FXI) and KraneShares CSI China Internet ETF (KWEB) show a very strong relationship: their 3-year correlation of weekly returns is 0.94.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are FXI and KWEB?
Over the past 3 years, FXI and KWEB moved with a correlation of 0.94, which is very strong, meaning they move nearly in lockstep. Little has changed lately, as the 1-year reading of 0.90 lands near the 3-year figure. Over 5 years the correlation is 0.94, and the annualized covariance of weekly returns is 803.0 %².
In FXI's tracked universe of 74 assets, KWEB sits right near the top at #1. The last year tells two different stories: FXI led by 20.0 percentage points, -6.1% for FXI against -26.1% for KWEB. The rolling one-year correlation stayed in a tight band between 0.90 and 0.97 over the past three years, which points to a structural rather than episodic relationship.
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.
FXI vs KWEB: side by side
| FXI (iShares China Large-Cap ETF) | KWEB (KraneShares CSI China Internet ETF) | |
|---|---|---|
| 1-year return | -6.1% | -26.1% |
| 5-year return | -1.4% | -36.2% |
| Volatility (ann.) | 25.3% | 33.9% |
| Beta vs S&P 500 | 0.68 | 0.90 |
| Max drawdown (3Y) | -23.2% | -41.6% |
| Dividend yield | 1.87% | – |
| Expense ratio | 0.73% | – |
| Assets under management | $4.3B | – |
| Sector / category | ETF · International | ETF · Thematic |
FXI is a Greater China Region fund from iShares: $4.3B under management, 50 holdings, a 0.73% expense ratio, a 1.87% trailing dividend yield.
Year-by-year returns
| Year | FXI | KWEB |
|---|---|---|
| 2022 | -20.7% | -17.2% |
| 2023 | -12.4% | -9.1% |
| 2024 | +29.0% | +12.0% |
| 2025 | +28.9% | +23.5% |
| 2026 | -7.3% | -23.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are FXI and KWEB good diversifiers for each other?
Not really. At 0.94, the two trade almost as one position, and owning both buys little extra protection.
FAQ
What is the correlation between FXI and KWEB?
The FXI/KWEB correlation stands at 0.94 on a 3-year window (1 year: 0.90, 5 years: 0.94), computed from weekly returns as of 2026-08-27.
Is KWEB a good diversifier for FXI?
Not really. At 0.94, the two trade almost as one position, and owning both buys little extra protection.
What does a correlation of 0.94 mean?
On the −1 to +1 scale, 0.94 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/fxi-vs-kweb.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/fxi-vs-kweb/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: FXI correlations · KWEB correlations
