QQQ vs VNDA: Correlation
How closely do Invesco QQQ Trust (QQQ) and Vanda Pharmaceuticals Inc. (VNDA) trade together? Their weekly returns over three years give a correlation of 0.05, which is near-zero.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are QQQ and VNDA?
Across a 3-year window, the weekly returns of QQQ and VNDA correlate at 0.05, near zero, meaning they move largely independently. Recent behaviour matches the longer record: -0.01 over 1 year against 0.05 over 3. Stretching to 5 years gives 0.09, with an annualized covariance of 57.9 %².
Within QQQ's tracked universe of 4755 assets, VNDA comes in at #4227 by 3-year correlation. The trailing year gives QQQ the advantage: +26.3% versus +17.7%, a 8.6-point spread. Note the risk asymmetry: VNDA runs 3.2 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.
QQQ vs VNDA: side by side
| QQQ (Invesco QQQ Trust) | VNDA (Vanda Pharmaceuticals Inc.) | |
|---|---|---|
| 1-year return | +26.3% | +17.7% |
| 5-year return | +95.4% | -67.8% |
| Volatility (ann.) | 19.6% | 63.1% |
| Beta vs S&P 500 | 1.28 | 0.55 |
| Max drawdown (3Y) | -22.8% | -48.4% |
| Market cap | – | $0.3B |
| P/E (trailing) | – | – |
| Dividend yield | 0.44% | 0.00% |
| Expense ratio | 0.18% | – |
| Assets under management | $452.8B | – |
| Sector / category | ETF · US Growth & Tech | US Listed |
On the fund side, QQQ sits in the Large Growth category at Invesco, with $452.8B under management, 104 holdings, a 0.18% expense ratio, a 0.44% trailing dividend yield.
Year-by-year returns
| Year | QQQ | VNDA |
|---|---|---|
| 2022 | -32.6% | -52.9% |
| 2023 | +54.9% | -42.9% |
| 2024 | +25.6% | +13.5% |
| 2025 | +20.8% | +84.1% |
| 2026 | +17.7% | -38.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are QQQ and VNDA good diversifiers for each other?
Yes. With a correlation of 0.05, QQQ and VNDA have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between QQQ and VNDA?
As of 2026-08-27, the correlation of weekly returns between QQQ and VNDA is 0.05 over 3 years, -0.01 over 1 year and 0.09 over 5 years.
Is VNDA a good diversifier for QQQ?
Yes. With a correlation of 0.05, QQQ and VNDA have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of 0.05 mean?
On the −1 to +1 scale, 0.05 describes how much the two returns move together: +1 is lockstep, 0 is independence, negative values mean opposite directions. It says nothing about which performed better.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/qqq-vs-vnda.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/qqq-vs-vnda/)
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Related comparisons
Hubs: QQQ correlations · VNDA correlations
