PSKY vs XLC: Correlation
Measured on weekly returns over the past three years, Paramount Skydance Corporation (PSKY) and Communication Services Select Sector SPDR Fund (XLC) carry a correlation of 0.37, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are PSKY and XLC?
On 3 years of weekly data the PSKY/XLC correlation comes out at 0.37, moderate. The past 12 months show a tighter link (0.49) than the 3-year average (0.37). The 5-year figure is 0.47, and annualized covariance runs at 322.2 %².
Within PSKY's tracked universe of 32 assets, XLC comes in at #16 by 3-year correlation. Their recent paths diverged sharply: over the last 12 months XLC outperformed by 27.4 percentage points (-25.9% for PSKY against +1.5% for XLC). This link changes with the market regime, having swung between 0.15 and 0.67 on a rolling one-year basis. Note the risk asymmetry: PSKY runs 3.4 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.
PSKY vs XLC: side by side
| PSKY (Paramount Skydance Corporation) | XLC (Communication Services Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | -25.9% | +1.5% |
| 5-year return | -69.8% | +37.5% |
| Volatility (ann.) | 54.4% | 16.0% |
| Beta vs S&P 500 | 0.92 | 0.90 |
| Max drawdown (3Y) | -59.9% | -18.0% |
| Market cap | $12.1B | – |
| P/E (trailing) | 360.0 | – |
| Dividend yield | 1.86% | 1.32% |
| Expense ratio | – | 0.08% |
| Assets under management | – | $21.7B |
| Sector / category | Communication Services | Sector ETF |
On the fund side, XLC sits in the Communications category at State Street Investment Management, with $21.7B under management, 24 holdings, a 0.08% expense ratio, a 1.32% trailing dividend yield.
Year-by-year returns
| Year | PSKY | XLC |
|---|---|---|
| 2022 | -41.8% | -37.6% |
| 2023 | -10.4% | +52.8% |
| 2024 | -28.0% | +34.7% |
| 2025 | +30.0% | +23.1% |
| 2026 | -18.6% | -4.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
PSKY represents 0.61% of XLC's portfolio, so part of any move in XLC is PSKY itself, and the correlation between them is partly mechanical.
Are PSKY and XLC good diversifiers for each other?
Reasonably. At 0.37, PSKY and XLC keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
FAQ
What is the correlation between PSKY and XLC?
Using weekly returns as of 2026-08-27: 0.37 over 3 years, with 0.49 over the last year and 0.47 over 5 years.
Is XLC a good diversifier for PSKY?
Reasonably. At 0.37, PSKY and XLC keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
What does a correlation of 0.37 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/psky-vs-xlc.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/psky-vs-xlc/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: PSKY correlations · XLC correlations
