QQQ vs STWD: Correlation
How closely do Invesco QQQ Trust (QQQ) and STARWOOD PROPERTY TRUST, INC. Starwood Property Trust Inc. (STWD) trade together? Their weekly returns over three years give a correlation of 0.34, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are QQQ and STWD?
On 3 years of weekly data the QQQ/STWD correlation comes out at 0.34, moderate. Lately the two have drifted apart, with the 1-year correlation at 0.18 versus 0.34 over 3 years. The 5-year figure is 0.50, and annualized covariance runs at 128.8 %².
Within QQQ's tracked universe of 4755 assets, STWD comes in at #1148 by 3-year correlation. Correlation aside, the last 12 months split them widely, with QQQ ahead by 38.1 points (+26.3% versus -11.8%).
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.
QQQ vs STWD: side by side
| QQQ (Invesco QQQ Trust) | STWD (STARWOOD PROPERTY TRUST, INC. Starwood Property Trust Inc.) | |
|---|---|---|
| 1-year return | +26.3% | -11.8% |
| 5-year return | +95.4% | +0.5% |
| Volatility (ann.) | 19.6% | 19.3% |
| Beta vs S&P 500 | 1.28 | 0.65 |
| Max drawdown (3Y) | -22.8% | -15.8% |
| Market cap | – | $6.1B |
| P/E (trailing) | – | 27.0 |
| Dividend yield | 0.44% | 12.07% |
| Expense ratio | 0.18% | – |
| Assets under management | $452.8B | – |
| Sector / category | ETF · US Growth & Tech | US Listed |
QQQ is a Large Growth fund from Invesco: $452.8B under management, 104 holdings, a 0.18% expense ratio, a 0.44% trailing dividend yield.
Year-by-year returns
| Year | QQQ | STWD |
|---|---|---|
| 2022 | -32.6% | -17.3% |
| 2023 | +54.9% | +26.7% |
| 2024 | +25.6% | -0.6% |
| 2025 | +20.8% | +4.9% |
| 2026 | +17.7% | -6.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are QQQ and STWD good diversifiers for each other?
A fair diversifier. At 0.34, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
FAQ
What is the correlation between QQQ and STWD?
The QQQ/STWD correlation stands at 0.34 on a 3-year window (1 year: 0.18, 5 years: 0.50), computed from weekly returns as of 2026-08-27.
Is STWD a good diversifier for QQQ?
A fair diversifier. At 0.34, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
What does a correlation of 0.34 mean?
A reading of 0.34 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/qqq-vs-stwd.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/qqq-vs-stwd/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: QQQ correlations · STWD correlations
