IBB vs VXZ: Correlation
Measured on weekly returns over the past three years, iShares Biotechnology ETF (IBB) and iPath Series B S&P 500 VIX Mid-Term Futures ETN (VXZ) carry a correlation of -0.51, a negative link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are IBB and VXZ?
Over the past 3 years, IBB and VXZ moved with a correlation of -0.51, which is negative, meaning they tend to move in opposite directions. Recent behaviour matches the longer record: -0.43 over 1 year against -0.51 over 3. Over 5 years the correlation is -0.49, and the annualized covariance of weekly returns is -268.3 %².
Among the 168 assets we track against IBB, VXZ sits near the bottom by co-movement, at rank #168. The last year tells two different stories: IBB led by 71.5 percentage points, +55.4% for IBB against -16.1% for VXZ.
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.
IBB vs VXZ: side by side
| IBB (iShares Biotechnology ETF) | VXZ (iPath Series B S&P 500 VIX Mid-Term Futures ETN) | |
|---|---|---|
| 1-year return | +55.4% | -16.1% |
| 5-year return | +26.6% | -53.1% |
| Volatility (ann.) | 20.7% | 25.6% |
| Beta vs S&P 500 | 0.81 | -1.31 |
| Max drawdown (3Y) | -24.9% | -36.4% |
| Dividend yield | 0.22% | – |
| Expense ratio | 0.44% | – |
| Assets under management | $9.2B | – |
| Sector / category | ETF · Thematic | US Listed |
On the fund side, IBB sits in the Health category at iShares, with $9.2B under management, 235 holdings, a 0.44% expense ratio, a 0.22% trailing dividend yield.
Year-by-year returns
| Year | IBB | VXZ |
|---|---|---|
| 2022 | -13.7% | +0.5% |
| 2023 | +3.8% | -44.0% |
| 2024 | -2.4% | -12.7% |
| 2025 | +28.0% | +5.7% |
| 2026 | +27.4% | -10.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are IBB and VXZ good diversifiers for each other?
Yes. With a correlation of -0.51, IBB and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between IBB and VXZ?
The IBB/VXZ correlation stands at -0.51 on a 3-year window (1 year: -0.43, 5 years: -0.49), computed from weekly returns as of 2026-08-27.
Is VXZ a good diversifier for IBB?
Yes. With a correlation of -0.51, IBB and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of -0.51 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/ibb-vs-vxz.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/ibb-vs-vxz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: IBB correlations · VXZ correlations
