SMHB vs STHO: Correlation
How closely do ETRACS Monthly Pay 2x Leveraged Small Cap High Dividend ETN (SMHB) and Star Holdings - Shares of Beneficial Interest (STHO) trade together? Their weekly returns over three years give a correlation of 0.67, which is strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are SMHB and STHO?
Across a 3-year window, the weekly returns of SMHB and STHO correlate at 0.67, strong. Recent behaviour matches the longer record: 0.58 over 1 year against 0.67 over 3. Stretching to 5 years gives n/a, with an annualized covariance of 939.3 %².
By 3-year correlation, STHO places #10 of the 58 assets tracked against SMHB. On 12-month performance STHO holds a 9.3-point edge, +7.4% against +16.7%.
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.
SMHB vs STHO: side by side
| SMHB (ETRACS Monthly Pay 2x Leveraged Small Cap High Dividend ETN) | STHO (Star Holdings - Shares of Beneficial Interest) | |
|---|---|---|
| 1-year return | +7.4% | +16.7% |
| 5-year return | -13.5% | n/a |
| Volatility (ann.) | 39.3% | 35.5% |
| Beta vs S&P 500 | 1.42 | 0.88 |
| Max drawdown (3Y) | -45.0% | -59.4% |
| Market cap | – | $0.1B |
| P/E (trailing) | – | 8.0 |
| Dividend yield | – | 0.00% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | SMHB | STHO |
|---|---|---|
| 2022 | -36.0% | – |
| 2023 | +36.0% | – |
| 2024 | -15.8% | -35.0% |
| 2025 | -7.7% | -15.4% |
| 2026 | +22.1% | +19.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are SMHB and STHO good diversifiers for each other?
Somewhat, no more. With 0.67 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between SMHB and STHO?
The SMHB/STHO correlation stands at 0.67 on a 3-year window (1 year: 0.58, 5 years: n/a), computed from weekly returns as of 2026-08-27.
Is STHO a good diversifier for SMHB?
Somewhat, no more. With 0.67 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.67 mean?
On the −1 to +1 scale, 0.67 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/smhb-vs-stho.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/smhb-vs-stho/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: SMHB correlations · STHO correlations
