NREF vs STWD: Correlation
Measured on weekly returns over the past three years, NexPoint Real Estate Finance, Inc. (NREF) and STARWOOD PROPERTY TRUST, INC. Starwood Property Trust Inc. (STWD) carry a correlation of 0.60, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are NREF and STWD?
Over the past 3 years, NREF and STWD moved with a correlation of 0.60, which is strong. Recent behaviour matches the longer record: 0.51 over 1 year against 0.60 over 3. Over 5 years the correlation is 0.58, and the annualized covariance of weekly returns is 332.5 %².
Few assets follow NREF as closely as STWD, which ranks #2 of 12 tracked partners. The last year tells two different stories: NREF led by 43.8 percentage points, +32.0% for NREF against -11.8% for STWD.
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.
NREF vs STWD: side by side
| NREF (NexPoint Real Estate Finance, Inc.) | STWD (STARWOOD PROPERTY TRUST, INC. Starwood Property Trust Inc.) | |
|---|---|---|
| 1-year return | +32.0% | -11.8% |
| 5-year return | +54.2% | +0.5% |
| Volatility (ann.) | 28.5% | 19.3% |
| Beta vs S&P 500 | 0.63 | 0.65 |
| Max drawdown (3Y) | -24.0% | -15.8% |
| Market cap | $0.4B | $6.1B |
| P/E (trailing) | 7.3 | 27.0 |
| Dividend yield | 11.63% | 12.07% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | NREF | STWD |
|---|---|---|
| 2022 | -8.9% | -17.3% |
| 2023 | +17.4% | +26.7% |
| 2024 | +13.5% | -0.6% |
| 2025 | +2.3% | +4.9% |
| 2026 | +32.1% | -6.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are NREF and STWD good diversifiers for each other?
To a limited degree. At 0.60 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 NREF and STWD?
As of 2026-08-27, the correlation of weekly returns between NREF and STWD is 0.60 over 3 years, 0.51 over 1 year and 0.58 over 5 years.
Is STWD a good diversifier for NREF?
To a limited degree. At 0.60 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 0.60 mean?
A reading of 0.60 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/nref-vs-stwd.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/nref-vs-stwd/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: NREF correlations · STWD correlations
