IEMG vs VXZ: Correlation
How closely do iShares Core MSCI Emerging Markets ETF (IEMG) and iPath Series B S&P 500 VIX Mid-Term Futures ETN (VXZ) trade together? Their weekly returns over three years give a correlation of -0.50, which is negative.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are IEMG and VXZ?
Across a 3-year window, the weekly returns of IEMG and VXZ correlate at -0.50, negative, meaning they tend to move in opposite directions. Little has changed lately, as the 1-year reading of -0.54 lands near the 3-year figure. Stretching to 5 years gives -0.55, with an annualized covariance of -222.0 %².
VXZ is close to the least connected end of IEMG's tracked universe, ranking #66 of 68. Their recent paths diverged sharply: over the last 12 months IEMG outperformed by 52.1 percentage points (+36.0% for IEMG 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.
IEMG vs VXZ: side by side
| IEMG (iShares Core MSCI Emerging Markets ETF) | VXZ (iPath Series B S&P 500 VIX Mid-Term Futures ETN) | |
|---|---|---|
| 1-year return | +36.0% | -16.1% |
| 5-year return | +50.7% | -53.1% |
| Volatility (ann.) | 17.4% | 25.6% |
| Beta vs S&P 500 | 0.84 | -1.31 |
| Max drawdown (3Y) | -17.2% | -36.4% |
| Dividend yield | 2.31% | – |
| Expense ratio | 0.09% | – |
| Assets under management | $152.2B | – |
| Sector / category | ETF · International | US Listed |
IEMG is a Diversified Emerging Mkts fund from iShares: $152.2B under management, 1824 holdings, a 0.09% expense ratio, a 2.31% trailing dividend yield.
Year-by-year returns
| Year | IEMG | VXZ |
|---|---|---|
| 2022 | -20.0% | +0.5% |
| 2023 | +11.5% | -44.0% |
| 2024 | +6.5% | -12.7% |
| 2025 | +32.6% | +5.7% |
| 2026 | +23.6% | -10.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are IEMG and VXZ good diversifiers for each other?
Yes: at -0.50, the two have gone their own ways historically, which is what genuine diversification looks like.
FAQ
What is the correlation between IEMG and VXZ?
The IEMG/VXZ correlation stands at -0.50 on a 3-year window (1 year: -0.54, 5 years: -0.55), computed from weekly returns as of 2026-08-27.
Is VXZ a good diversifier for IEMG?
Yes: at -0.50, the two have gone their own ways historically, which is what genuine diversification looks like.
What does a correlation of -0.50 mean?
A reading of -0.50 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/iemg-vs-vxz.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/iemg-vs-vxz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: IEMG correlations · VXZ correlations
