SPY vs TEL: Correlation
Measured on weekly returns over the past three years, SPDR S&P 500 ETF Trust (SPY) and TE Connectivity (TEL) 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 SPY and TEL?
Over the past 3 years, SPY and TEL moved with a correlation of 0.66, which is strong. The past 12 months show a weaker link (0.52) than the 3-year average (0.66). Over 5 years the correlation is 0.70, and the annualized covariance of weekly returns is 275.3 %².
Within SPY's tracked universe of 4755 assets, TEL comes in at #118 by 3-year correlation. Correlation aside, the last 12 months split them widely, with SPY ahead by 21.7 points (+20.6% versus -1.1%). The rolling one-year correlation moved between 0.46 and 0.85 over the past three years, a moderate range. One caveat on sizing: TEL is 2.0 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.
SPY vs TEL: side by side
| SPY (SPDR S&P 500 ETF Trust) | TEL (TE Connectivity) | |
|---|---|---|
| 1-year return | +20.6% | -1.1% |
| 5-year return | +82.4% | +43.7% |
| Volatility (ann.) | 14.5% | 28.8% |
| Beta vs S&P 500 | 1.00 | 1.32 |
| Max drawdown (3Y) | -18.8% | -22.6% |
| Market cap | – | $58.8B |
| P/E (trailing) | – | 20.1 |
| Dividend yield | 1.01% | 1.42% |
| Expense ratio | 0.09% | – |
| Assets under management | $795.3B | – |
| Sector / category | ETF · US Large Cap | Information Technology |
SPY is a Large Blend fund from State Street Investment Management: $795.3B under management, 504 holdings, a 0.09% expense ratio, a 1.01% trailing dividend yield.
Year-by-year returns
| Year | SPY | TEL |
|---|---|---|
| 2022 | -18.2% | -27.7% |
| 2023 | +26.2% | +24.6% |
| 2024 | +24.9% | +3.5% |
| 2025 | +17.7% | +61.1% |
| 2026 | +13.7% | -9.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
TEL represents 0.09% of SPY's portfolio, so part of any move in SPY is TEL itself, and the correlation between them is partly mechanical.
Are SPY and TEL good diversifiers for each other?
Only partially. A correlation of 0.66 means SPY and TEL 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 SPY and TEL?
As of 2026-08-27, the correlation of weekly returns between SPY and TEL is 0.66 over 3 years, 0.52 over 1 year and 0.70 over 5 years.
Is TEL a good diversifier for SPY?
Only partially. A correlation of 0.66 means SPY and TEL 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?
A reading of 0.66 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/spy-vs-tel.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/spy-vs-tel/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: SPY correlations · TEL correlations
