QQQ vs TIP: Correlation
Invesco QQQ Trust (QQQ) and iShares TIPS Bond ETF (TIP) show a weak relationship: their 3-year correlation of weekly returns is 0.13.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are QQQ and TIP?
Across a 3-year window, the weekly returns of QQQ and TIP correlate at 0.13, weak. The link has tightened recently: the 1-year correlation (0.33) runs above the 3-year figure (0.13). Stretching to 5 years gives 0.24, with an annualized covariance of 11.2 %².
By 3-year correlation, TIP places #3593 of the 4755 assets tracked against QQQ. The last year tells two different stories: QQQ led by 24.9 percentage points, +26.3% for QQQ against +1.4% for TIP. Do not treat this figure as fixed: across three years the rolling one-year correlation ranged all the way from -0.33 to 0.53. Risk is not evenly split, since QQQ carries 4.5 times the volatility of the other side.
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 TIP: side by side
| QQQ (Invesco QQQ Trust) | TIP (iShares TIPS Bond ETF) | |
|---|---|---|
| 1-year return | +26.3% | +1.4% |
| 5-year return | +95.4% | +1.2% |
| Volatility (ann.) | 19.6% | 4.4% |
| Beta vs S&P 500 | 1.28 | 0.05 |
| Max drawdown (3Y) | -22.8% | -3.7% |
| Dividend yield | 0.44% | 4.47% |
| Expense ratio | 0.18% | 0.18% |
| Assets under management | $452.8B | $14.6B |
| Sector / category | ETF · US Growth & Tech | ETF · Bonds |
QQQ, Invesco's Large Growth fund, carries $452.8B under management, 104 holdings, a 0.18% expense ratio, a 0.44% trailing dividend yield. TIP is an Inflation-Protected Bond fund from iShares: $14.6B under management, a 0.18% expense ratio, a 4.47% trailing dividend yield.
Year-by-year returns
| Year | QQQ | TIP |
|---|---|---|
| 2022 | -32.6% | -12.3% |
| 2023 | +54.9% | +3.8% |
| 2024 | +25.6% | +1.7% |
| 2025 | +20.8% | +6.8% |
| 2026 | +17.7% | +1.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are QQQ and TIP good diversifiers for each other?
Yes. With a correlation of 0.13, QQQ and TIP have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between QQQ and TIP?
Using weekly returns as of 2026-08-27: 0.13 over 3 years, with 0.33 over the last year and 0.24 over 5 years.
Is TIP a good diversifier for QQQ?
Yes. With a correlation of 0.13, QQQ and TIP have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of 0.13 mean?
A reading of 0.13 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-tip.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/qqq-vs-tip/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: QQQ correlations · TIP correlations
