TD vs VXX: Correlation
Measured on weekly returns over the past three years, Toronto Dominion Bank (The) (TD) and iPath Series B S&P 500 VIX Short-Term Futures ETN (VXX) carry a correlation of -0.40, a negative link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are TD and VXX?
On 3 years of weekly data the TD/VXX correlation comes out at -0.40, negative, meaning they tend to move in opposite directions. The past 12 months show a weaker link (-0.54) than the 3-year average (-0.40). The 5-year figure is -0.39, and annualized covariance runs at -467.6 %².
Out of 13 assets tracked against TD, VXX lands near the bottom at #13. Their recent paths diverged sharply: over the last 12 months TD outperformed by 111.1 percentage points (+61.4% for TD against -49.7% for VXX). Note the risk asymmetry: VXX runs 3.2 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.
TD vs VXX: side by side
| TD (Toronto Dominion Bank (The)) | VXX (iPath Series B S&P 500 VIX Short-Term Futures ETN) | |
|---|---|---|
| 1-year return | +61.4% | -49.7% |
| 5-year return | +124.4% | -95.6% |
| Volatility (ann.) | 19.1% | 60.9% |
| Beta vs S&P 500 | 0.59 | -3.31 |
| Max drawdown (3Y) | -19.2% | -83.3% |
| Market cap | $198.4B | – |
| P/E (trailing) | 19.4 | – |
| Dividend yield | 0.00% | 0.00% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | TD | VXX |
|---|---|---|
| 2022 | -12.2% | -23.8% |
| 2023 | +4.6% | -72.5% |
| 2024 | -13.4% | -26.2% |
| 2025 | +83.6% | -42.2% |
| 2026 | +30.4% | -31.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are TD and VXX good diversifiers for each other?
Yes. With a correlation of -0.40, TD and VXX have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between TD and VXX?
The TD/VXX correlation stands at -0.40 on a 3-year window (1 year: -0.54, 5 years: -0.39), computed from weekly returns as of 2026-08-27.
Is VXX a good diversifier for TD?
Yes. With a correlation of -0.40, TD and VXX have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of -0.40 mean?
A reading of -0.40 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/td-vs-vxx.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/td-vs-vxx/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: TD correlations · VXX correlations
