L vs THG: Correlation
Measured on weekly returns over the past three years, Loews Corporation (L) and Hanover Insurance Group Inc (THG) carry a correlation of 0.66, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are L and THG?
Over the past 3 years, L and THG moved with a correlation of 0.66, which is strong. Little has changed lately, as the 1-year reading of 0.64 lands near the 3-year figure. Over 5 years the correlation is 0.66, and the annualized covariance of weekly returns is 241.1 %².
Within L's tracked universe of 54 assets, THG comes in at #13 by 3-year correlation. The last year tells two different stories: THG led by 18.9 percentage points, +14.2% for L against +33.1% for THG.
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.
L vs THG: side by side
| L (Loews Corporation) | THG (Hanover Insurance Group Inc) | |
|---|---|---|
| 1-year return | +14.2% | +33.1% |
| 5-year return | +100.1% | +81.9% |
| Volatility (ann.) | 16.6% | 21.9% |
| Beta vs S&P 500 | 0.33 | 0.24 |
| Max drawdown (3Y) | -12.2% | -14.0% |
| Market cap | $22.5B | $7.9B |
| P/E (trailing) | 13.5 | 10.9 |
| Dividend yield | 0.23% | 1.64% |
| Sector / category | Financials | US Listed |
Year-by-year returns
| Year | L | THG |
|---|---|---|
| 2022 | +1.4% | +5.4% |
| 2023 | +19.8% | -7.6% |
| 2024 | +22.1% | +30.6% |
| 2025 | +24.7% | +20.7% |
| 2026 | +4.5% | +25.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are L and THG good diversifiers for each other?
Somewhat, no more. With 0.66 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between L and THG?
Using weekly returns as of 2026-08-27: 0.66 over 3 years, with 0.64 over the last year and 0.66 over 5 years.
Is THG a good diversifier for L?
Somewhat, no more. With 0.66 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.66 mean?
A reading of 0.66 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/l-vs-thg.json
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Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: L correlations · THG correlations
