IVV vs MSFT: Correlation
Measured on weekly returns over the past three years, iShares Core S&P 500 ETF (IVV) and Microsoft (MSFT) carry a correlation of 0.59, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are IVV and MSFT?
On 3 years of weekly data the IVV/MSFT correlation comes out at 0.59, moderate. The relationship has been stable: the 1-year correlation (0.53) sits close to the 3-year figure. The 5-year figure is 0.67, and annualized covariance runs at 235.0 %².
Within IVV's tracked universe of 122 assets, MSFT comes in at #66 by 3-year correlation. The last year tells two different stories: IVV led by 20.2 percentage points, +20.7% for IVV against +0.5% for MSFT. The link looks structural: the rolling one-year correlation barely moved, holding between 0.53 and 0.76. One caveat on sizing: MSFT is 1.9 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
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.
IVV vs MSFT: side by side
| IVV (iShares Core S&P 500 ETF) | MSFT (Microsoft) | |
|---|---|---|
| 1-year return | +20.7% | +0.5% |
| 5-year return | +83.0% | +73.3% |
| Volatility (ann.) | 14.5% | 27.5% |
| Beta vs S&P 500 | 1.00 | 1.12 |
| Max drawdown (3Y) | -18.8% | -34.5% |
| Market cap | – | $3,750.3B |
| P/E (trailing) | – | 28.1 |
| Dividend yield | 1.09% | 0.73% |
| Expense ratio | 0.03% | – |
| Assets under management | $869.2B | – |
| Sector / category | ETF · US Large Cap | Information Technology |
IVV is a Large Blend fund from iShares: $869.2B under management, 503 holdings, a 0.03% expense ratio, a 1.09% trailing dividend yield.
Year-by-year returns
| Year | IVV | MSFT |
|---|---|---|
| 2022 | -18.2% | -28.0% |
| 2023 | +26.3% | +58.2% |
| 2024 | +24.9% | +12.9% |
| 2025 | +17.8% | +15.6% |
| 2026 | +13.7% | +5.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
MSFT represents 5.57% of IVV's portfolio, so part of any move in IVV is MSFT itself, and the correlation between them is partly mechanical.
Are IVV and MSFT good diversifiers for each other?
To a limited degree. At 0.59 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between IVV and MSFT?
Using weekly returns as of 2026-08-27: 0.59 over 3 years, with 0.53 over the last year and 0.67 over 5 years.
Is MSFT a good diversifier for IVV?
To a limited degree. At 0.59 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.59 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/ivv-vs-msft.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/ivv-vs-msft/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: IVV correlations · MSFT correlations
