HERZ vs QQQ: Correlation
How closely do Herzfeld Credit Income Fund, Inc. - Closed End Fund (HERZ) and Invesco QQQ Trust (QQQ) trade together? Their weekly returns over three years give a correlation of 0.02, which is near-zero.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are HERZ and QQQ?
Over the past 3 years, HERZ and QQQ moved with a correlation of 0.02, which is near zero, meaning they move largely independently. The past 12 months show a weaker link (-0.14) than the 3-year average (0.02). Over 5 years the correlation is 0.20, and the annualized covariance of weekly returns is 10.6 %².
Among the 19 assets we track against HERZ, QQQ ranks #7 by 3-year correlation. Neither side won the trailing year by much: +22.0% against +26.3%. Note the risk asymmetry: HERZ runs 1.8 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.
HERZ vs QQQ: side by side
| HERZ (Herzfeld Credit Income Fund, Inc. - Closed End Fund) | QQQ (Invesco QQQ Trust) | |
|---|---|---|
| 1-year return | +22.0% | +26.3% |
| 5-year return | +1.5% | +95.4% |
| Volatility (ann.) | 35.4% | 19.6% |
| Beta vs S&P 500 | 0.10 | 1.28 |
| Max drawdown (3Y) | -41.6% | -22.8% |
| Market cap | – | – |
| P/E (trailing) | 80.0 | – |
| Dividend yield | 57.89% | 0.44% |
| Expense ratio | – | 0.18% |
| Assets under management | – | $452.8B |
| Sector / category | US Listed | ETF · US Growth & Tech |
QQQ is a Large Growth fund from Invesco: $452.8B under management, 104 holdings, a 0.18% expense ratio, a 0.44% trailing dividend yield.
Year-by-year returns
| Year | HERZ | QQQ |
|---|---|---|
| 2022 | -20.4% | -32.6% |
| 2023 | -13.6% | +54.9% |
| 2024 | +2.9% | +25.6% |
| 2025 | +89.3% | +20.8% |
| 2026 | -24.3% | +17.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are HERZ and QQQ good diversifiers for each other?
Yes: at 0.02, the two have gone their own ways historically, which is what genuine diversification looks like.
FAQ
What is the correlation between HERZ and QQQ?
Using weekly returns as of 2026-08-27: 0.02 over 3 years, with -0.14 over the last year and 0.20 over 5 years.
Is QQQ a good diversifier for HERZ?
Yes: at 0.02, the two have gone their own ways historically, which is what genuine diversification looks like.
What does a correlation of 0.02 mean?
On the −1 to +1 scale, 0.02 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/herz-vs-qqq.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/herz-vs-qqq/)
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Related comparisons
Hubs: HERZ correlations · QQQ correlations
