PFSI vs SPY: Correlation
PennyMac Financial Services, Inc. (PFSI) and SPDR S&P 500 ETF Trust (SPY) show a weak relationship: their 3-year correlation of weekly returns is 0.24.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are PFSI and SPY?
Across a 3-year window, the weekly returns of PFSI and SPY correlate at 0.24, weak. The relationship has been stable: the 1-year correlation (0.22) sits close to the 3-year figure. Stretching to 5 years gives 0.43, with an annualized covariance of 119.9 %².
By 3-year correlation, SPY places #9 of the 14 assets tracked against PFSI. Correlation aside, the last 12 months split them widely, with SPY ahead by 51.9 points (-31.3% versus +20.6%). One caveat on sizing: PFSI is 2.4 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.
PFSI vs SPY: side by side
| PFSI (PennyMac Financial Services, Inc.) | SPY (SPDR S&P 500 ETF Trust) | |
|---|---|---|
| 1-year return | -31.3% | +20.6% |
| 5-year return | +17.5% | +82.4% |
| Volatility (ann.) | 34.9% | 14.5% |
| Beta vs S&P 500 | 0.57 | 1.00 |
| Max drawdown (3Y) | -53.8% | -18.8% |
| Market cap | $3.8B | – |
| P/E (trailing) | 10.0 | – |
| Dividend yield | 1.65% | 1.01% |
| Expense ratio | – | 0.09% |
| Assets under management | – | $795.3B |
| Sector / category | US Listed | ETF · US Large Cap |
SPY is a Large Blend fund from State Street Investment Management: $795.3B under management, 504 holdings, a 0.09% expense ratio, a 1.01% trailing dividend yield.
Year-by-year returns
| Year | PFSI | SPY |
|---|---|---|
| 2022 | -17.6% | -18.2% |
| 2023 | +57.8% | +26.2% |
| 2024 | +16.8% | +24.9% |
| 2025 | +30.5% | +17.7% |
| 2026 | -43.6% | +13.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are PFSI and SPY good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.24 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between PFSI and SPY?
As of 2026-08-27, the correlation of weekly returns between PFSI and SPY is 0.24 over 3 years, 0.22 over 1 year and 0.43 over 5 years.
Is SPY a good diversifier for PFSI?
Yes, to a useful degree: a correlation of 0.24 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.24 mean?
A reading of 0.24 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/pfsi-vs-spy.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/pfsi-vs-spy/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: PFSI correlations · SPY correlations
