SMHB vs SWK: Correlation
Measured on weekly returns over the past three years, ETRACS Monthly Pay 2x Leveraged Small Cap High Dividend ETN (SMHB) and Stanley Black & Decker (SWK) carry a correlation of 0.66, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are SMHB and SWK?
Over the past 3 years, SMHB and SWK moved with a correlation of 0.66, which is strong. Recent behaviour matches the longer record: 0.60 over 1 year against 0.66 over 3. Over 5 years the correlation is 0.66, and the annualized covariance of weekly returns is 917.5 %².
Among the 58 assets we track against SMHB, SWK ranks #13 by 3-year correlation. The last year tells two different stories: SWK led by 29.6 percentage points, +7.4% for SMHB against +37.0% for SWK.
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 SWK: side by side
| SMHB (ETRACS Monthly Pay 2x Leveraged Small Cap High Dividend ETN) | SWK (Stanley Black & Decker) | |
|---|---|---|
| 1-year return | +7.4% | +37.0% |
| 5-year return | -13.5% | -39.1% |
| Volatility (ann.) | 39.3% | 35.4% |
| Beta vs S&P 500 | 1.42 | 1.19 |
| Max drawdown (3Y) | -45.0% | -48.3% |
| Market cap | – | $15.0B |
| P/E (trailing) | – | 24.4 |
| Dividend yield | – | 3.33% |
| Sector / category | US Listed | Industrials |
Year-by-year returns
| Year | SMHB | SWK |
|---|---|---|
| 2022 | -36.0% | -58.9% |
| 2023 | +36.0% | +35.6% |
| 2024 | -15.8% | -15.2% |
| 2025 | -7.7% | -3.2% |
| 2026 | +22.1% | +36.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are SMHB and SWK good diversifiers for each other?
Only partially. A correlation of 0.66 means SMHB and SWK share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between SMHB and SWK?
As of 2026-08-27, the correlation of weekly returns between SMHB and SWK is 0.66 over 3 years, 0.60 over 1 year and 0.66 over 5 years.
Is SWK a good diversifier for SMHB?
Only partially. A correlation of 0.66 means SMHB and SWK share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.66 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/smhb-vs-swk.json
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[](https://www.pairbook.io/pair/smhb-vs-swk/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: SMHB correlations · SWK correlations
