SCHD vs ZSQR: Correlation
How closely do Schwab US Dividend Equity ETF (SCHD) and Z Squared Inc. (ZSQR) trade together? Their weekly returns over three years give a correlation of -0.14, which is negative.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are SCHD and ZSQR?
Across a 3-year window, the weekly returns of SCHD and ZSQR correlate at -0.14, negative, meaning they tend to move in opposite directions. Lately the two have drifted apart, with the 1-year correlation at -0.31 versus -0.14 over 3 years. Stretching to 5 years gives -0.02, with an annualized covariance of -180.0 %².
Among the 108 assets we track against SCHD, ZSQR ranks #100 by 3-year correlation. Correlation aside, the last 12 months split them widely, with SCHD ahead by 97.8 points (+29.6% versus -68.2%). Note the risk asymmetry: ZSQR runs 7.6 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.
SCHD vs ZSQR: side by side
| SCHD (Schwab US Dividend Equity ETF) | ZSQR (Z Squared Inc.) | |
|---|---|---|
| 1-year return | +29.6% | -68.2% |
| 5-year return | +60.9% | -97.9% |
| Volatility (ann.) | 12.9% | 98.5% |
| Beta vs S&P 500 | 0.52 | 0.28 |
| Max drawdown (3Y) | -16.1% | -89.7% |
| Market cap | – | $0.2B |
| P/E (trailing) | – | – |
| Dividend yield | 3.13% | 0.00% |
| Expense ratio | 0.06% | – |
| Assets under management | $104.2B | – |
| Sector / category | ETF · Dividend | US Listed |
SCHD is a Large Value fund from Schwab ETFs: $104.2B under management, 101 holdings, a 0.06% expense ratio, a 3.13% trailing dividend yield.
Year-by-year returns
| Year | SCHD | ZSQR |
|---|---|---|
| 2022 | -3.3% | -84.7% |
| 2023 | +4.5% | -48.8% |
| 2024 | +11.7% | -64.9% |
| 2025 | +4.3% | +159.1% |
| 2026 | +29.1% | -70.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are SCHD and ZSQR good diversifiers for each other?
Yes: at -0.14, the two have gone their own ways historically, which is what genuine diversification looks like.
FAQ
What is the correlation between SCHD and ZSQR?
As of 2026-08-27, the correlation of weekly returns between SCHD and ZSQR is -0.14 over 3 years, -0.31 over 1 year and -0.02 over 5 years.
Is ZSQR a good diversifier for SCHD?
Yes: at -0.14, the two have gone their own ways historically, which is what genuine diversification looks like.
What does a correlation of -0.14 mean?
On the −1 to +1 scale, -0.14 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/schd-vs-zsqr.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/schd-vs-zsqr/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: SCHD correlations · ZSQR correlations
