SAR vs VXX: Correlation
Measured on weekly returns over the past three years, Saratoga Investment Corp New (SAR) and iPath Series B S&P 500 VIX Short-Term Futures ETN (VXX) carry a correlation of -0.35, a negative link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are SAR and VXX?
On 3 years of weekly data the SAR/VXX correlation comes out at -0.35, negative, meaning they tend to move in opposite directions. The link has tightened recently: the 1-year correlation (-0.21) runs above the 3-year figure (-0.35). The 5-year figure is -0.35, and annualized covariance runs at -482.4 %².
Among the 11 assets we track against SAR, VXX sits near the bottom by co-movement, at rank #10. Their recent paths diverged sharply: over the last 12 months SAR outperformed by 32.5 percentage points (-17.2% for SAR against -49.7% for VXX). One caveat on sizing: VXX is 2.7 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.
SAR vs VXX: side by side
| SAR (Saratoga Investment Corp New) | VXX (iPath Series B S&P 500 VIX Short-Term Futures ETN) | |
|---|---|---|
| 1-year return | -17.2% | -49.7% |
| 5-year return | +15.2% | -95.6% |
| Volatility (ann.) | 22.7% | 60.9% |
| Beta vs S&P 500 | 0.53 | -3.31 |
| Max drawdown (3Y) | -24.5% | -83.3% |
| Market cap | $0.3B | – |
| P/E (trailing) | 18.7 | – |
| Dividend yield | 16.29% | 0.00% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | SAR | VXX |
|---|---|---|
| 2022 | -3.8% | -23.8% |
| 2023 | +12.9% | -72.5% |
| 2024 | +6.1% | -26.2% |
| 2025 | +10.4% | -42.2% |
| 2026 | -13.2% | -31.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are SAR and VXX good diversifiers for each other?
Yes. With a correlation of -0.35, SAR and VXX have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between SAR and VXX?
As of 2026-08-27, the correlation of weekly returns between SAR and VXX is -0.35 over 3 years, -0.21 over 1 year and -0.35 over 5 years.
Is VXX a good diversifier for SAR?
Yes. With a correlation of -0.35, SAR and VXX have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of -0.35 mean?
On the −1 to +1 scale, -0.35 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/sar-vs-vxx.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/sar-vs-vxx/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: SAR correlations · VXX correlations
