LADR vs SMHB: Correlation
Measured on weekly returns over the past three years, Ladder Capital Corp (LADR) and ETRACS Monthly Pay 2x Leveraged Small Cap High Dividend ETN (SMHB) carry a correlation of 0.69, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are LADR and SMHB?
Over the past 3 years, LADR and SMHB moved with a correlation of 0.69, which is strong. The link has loosened recently: the 1-year correlation (0.53) runs below the 3-year figure (0.69). Over 5 years the correlation is 0.76, and the annualized covariance of weekly returns is 521.1 %².
SMHB is one of the assets that tracks LADR most closely: it ranks #3 out of the 18 assets we track against LADR. Over the last 12 months SMHB came out ahead by 14.1 percentage points (-6.7% against +7.4%). Note the risk asymmetry: SMHB runs 2.1 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
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.
LADR vs SMHB: side by side
| LADR (Ladder Capital Corp) | SMHB (ETRACS Monthly Pay 2x Leveraged Small Cap High Dividend ETN) | |
|---|---|---|
| 1-year return | -6.7% | +7.4% |
| 5-year return | +32.1% | -13.5% |
| Volatility (ann.) | 19.1% | 39.3% |
| Beta vs S&P 500 | 0.50 | 1.42 |
| Max drawdown (3Y) | -15.3% | -45.0% |
| Market cap | $1.2B | – |
| P/E (trailing) | 23.4 | – |
| Dividend yield | 9.33% | – |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | LADR | SMHB |
|---|---|---|
| 2022 | -9.0% | -36.0% |
| 2023 | +25.2% | +36.0% |
| 2024 | +5.5% | -15.8% |
| 2025 | +6.7% | -7.7% |
| 2026 | -6.3% | +22.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are LADR and SMHB good diversifiers for each other?
Somewhat, no more. With 0.69 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between LADR and SMHB?
Using weekly returns as of 2026-08-27: 0.69 over 3 years, with 0.53 over the last year and 0.76 over 5 years.
Is SMHB a good diversifier for LADR?
Somewhat, no more. With 0.69 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.69 mean?
A reading of 0.69 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/ladr-vs-smhb.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/ladr-vs-smhb/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: LADR correlations · SMHB correlations
