HESM vs MLPB: Correlation
Hess Midstream LP Class A Representing Limited Partner (HESM) and ETRACS Alerian MLP Infrastructure Index ETN Series B due (MLPB) show a very strong relationship: their 3-year correlation of weekly returns is 0.81.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are HESM and MLPB?
Across a 3-year window, the weekly returns of HESM and MLPB correlate at 0.81, very strong, meaning they move nearly in lockstep. Little has changed lately, as the 1-year reading of 0.75 lands near the 3-year figure. Stretching to 5 years gives 0.77, with an annualized covariance of 289.8 %².
MLPB is one of the assets that tracks HESM most closely: it ranks #1 out of the 10 assets we track against HESM. Correlation aside, the last 12 months split them widely, with MLPB ahead by 24.8 points (+4.6% versus +29.4%).
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.
HESM vs MLPB: side by side
| HESM (Hess Midstream LP Class A Representing Limited Partner) | MLPB (ETRACS Alerian MLP Infrastructure Index ETN Series B due) | |
|---|---|---|
| 1-year return | +4.6% | +29.4% |
| 5-year return | +131.3% | +186.2% |
| Volatility (ann.) | 21.7% | 16.5% |
| Beta vs S&P 500 | 0.36 | 0.32 |
| Max drawdown (3Y) | -25.8% | -16.5% |
| Market cap | $8.2B | – |
| P/E (trailing) | 13.8 | – |
| Dividend yield | 7.70% | 0.00% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | HESM | MLPB |
|---|---|---|
| 2022 | +16.6% | +30.2% |
| 2023 | +14.4% | +22.0% |
| 2024 | +26.4% | +25.5% |
| 2025 | +0.6% | +7.4% |
| 2026 | +22.8% | +29.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are HESM and MLPB good diversifiers for each other?
No. With a correlation of 0.81, HESM and MLPB move nearly in lockstep, so holding both adds very little diversification.
FAQ
What is the correlation between HESM and MLPB?
The HESM/MLPB correlation stands at 0.81 on a 3-year window (1 year: 0.75, 5 years: 0.77), computed from weekly returns as of 2026-08-27.
Is MLPB a good diversifier for HESM?
No. With a correlation of 0.81, HESM and MLPB move nearly in lockstep, so holding both adds very little diversification.
What does a correlation of 0.81 mean?
A reading of 0.81 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/hesm-vs-mlpb.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/hesm-vs-mlpb/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: HESM correlations · MLPB correlations
