SCD vs VXX: Correlation
How closely do LMP Capital and Income Fund Inc. (SCD) and iPath Series B S&P 500 VIX Short-Term Futures ETN (VXX) trade together? Their weekly returns over three years give a correlation of -0.64, which is negative.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are SCD and VXX?
Across a 3-year window, the weekly returns of SCD and VXX correlate at -0.64, negative, meaning they tend to move in opposite directions. The past 12 months show a tighter link (-0.49) than the 3-year average (-0.64). Stretching to 5 years gives -0.59, with an annualized covariance of -681.3 %².
Out of 12 assets tracked against SCD, VXX lands near the bottom at #12. Their recent paths diverged sharply: over the last 12 months SCD outperformed by 60.6 percentage points (+10.9% for SCD against -49.7% for VXX). Note the risk asymmetry: VXX runs 3.5 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.
SCD vs VXX: side by side
| SCD (LMP Capital and Income Fund Inc.) | VXX (iPath Series B S&P 500 VIX Short-Term Futures ETN) | |
|---|---|---|
| 1-year return | +10.9% | -49.7% |
| 5-year return | +68.6% | -95.6% |
| Volatility (ann.) | 17.4% | 60.9% |
| Beta vs S&P 500 | 0.81 | -3.31 |
| Max drawdown (3Y) | -21.8% | -83.3% |
| Market cap | $0.4B | – |
| P/E (trailing) | 5.1 | – |
| Dividend yield | 9.25% | 0.00% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | SCD | VXX |
|---|---|---|
| 2022 | -14.0% | -23.8% |
| 2023 | +27.9% | -72.5% |
| 2024 | +33.7% | -26.2% |
| 2025 | -5.7% | -42.2% |
| 2026 | +12.3% | -31.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are SCD and VXX good diversifiers for each other?
Yes: at -0.64, the two have gone their own ways historically, which is what genuine diversification looks like.
FAQ
What is the correlation between SCD and VXX?
The SCD/VXX correlation stands at -0.64 on a 3-year window (1 year: -0.49, 5 years: -0.59), computed from weekly returns as of 2026-08-27.
Is VXX a good diversifier for SCD?
Yes: at -0.64, the two have gone their own ways historically, which is what genuine diversification looks like.
What does a correlation of -0.64 mean?
On the −1 to +1 scale, -0.64 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/scd-vs-vxx.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/scd-vs-vxx/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: SCD correlations · VXX correlations
