TDG vs VOO: Correlation
How closely do TransDigm Group (TDG) and Vanguard S&P 500 ETF (VOO) trade together? Their weekly returns over three years give a correlation of 0.51, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are TDG and VOO?
On 3 years of weekly data the TDG/VOO correlation comes out at 0.51, moderate. Lately the two have drifted apart, with the 1-year correlation at 0.40 versus 0.51 over 3 years. The 5-year figure is 0.62, and annualized covariance runs at 188.9 %².
By 3-year correlation, VOO places #10 of the 31 assets tracked against TDG. Correlation aside, the last 12 months split them widely, with VOO ahead by 29.7 points (-9.1% versus +20.6%). On a rolling one-year basis the correlation drifted between 0.29 and 0.75, a moderate band. Note the risk asymmetry: TDG runs 1.8 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.
TDG vs VOO: side by side
| TDG (TransDigm Group) | VOO (Vanguard S&P 500 ETF) | |
|---|---|---|
| 1-year return | -9.1% | +20.6% |
| 5-year return | +136.5% | +83.0% |
| Volatility (ann.) | 25.5% | 14.4% |
| Beta vs S&P 500 | 0.91 | 0.99 |
| Max drawdown (3Y) | -25.3% | -18.7% |
| Market cap | $65.6B | – |
| P/E (trailing) | 36.6 | – |
| Dividend yield | 0.00% | 1.07% |
| Expense ratio | – | 0.03% |
| Assets under management | – | $1,686.9B |
| Sector / category | Industrials | ETF · US Large Cap |
VOO, Vanguard's Large Blend fund, carries $1,686.9B under management, 503 holdings, a 0.03% expense ratio, a 1.07% trailing dividend yield.
Year-by-year returns
| Year | TDG | VOO |
|---|---|---|
| 2022 | +1.8% | -18.2% |
| 2023 | +66.6% | +26.3% |
| 2024 | +32.3% | +25.0% |
| 2025 | +12.2% | +17.8% |
| 2026 | -10.8% | +13.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
TDG represents 0.11% of VOO's portfolio, so part of any move in VOO is TDG itself, and the correlation between them is partly mechanical.
Are TDG and VOO good diversifiers for each other?
Somewhat, no more. With 0.51 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between TDG and VOO?
Using weekly returns as of 2026-08-27: 0.51 over 3 years, with 0.40 over the last year and 0.62 over 5 years.
Is VOO a good diversifier for TDG?
Somewhat, no more. With 0.51 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.51 mean?
On the −1 to +1 scale, 0.51 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/tdg-vs-voo.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/tdg-vs-voo/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: TDG correlations · VOO correlations
