TDG vs VXX: Correlation
TransDigm Group (TDG) and iPath Series B S&P 500 VIX Short-Term Futures ETN (VXX) show a negative relationship: their 3-year correlation of weekly returns is -0.41.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are TDG and VXX?
On 3 years of weekly data the TDG/VXX correlation comes out at -0.41, negative, meaning they tend to move in opposite directions. The relationship has been stable: the 1-year correlation (-0.36) sits close to the 3-year figure. The 5-year figure is -0.45, and annualized covariance runs at -643.5 %².
VXX is close to the least connected end of TDG's tracked universe, ranking #29 of 31. Their recent paths diverged sharply: over the last 12 months TDG outperformed by 40.6 percentage points (-9.1% for TDG against -49.7% for VXX). Note the risk asymmetry: VXX runs 2.4 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 VXX: side by side
| TDG (TransDigm Group) | VXX (iPath Series B S&P 500 VIX Short-Term Futures ETN) | |
|---|---|---|
| 1-year return | -9.1% | -49.7% |
| 5-year return | +136.5% | -95.6% |
| Volatility (ann.) | 25.5% | 60.9% |
| Beta vs S&P 500 | 0.91 | -3.31 |
| Max drawdown (3Y) | -25.3% | -83.3% |
| Market cap | $65.6B | – |
| P/E (trailing) | 36.6 | – |
| Dividend yield | 0.00% | 0.00% |
| Sector / category | Industrials | US Listed |
Year-by-year returns
| Year | TDG | VXX |
|---|---|---|
| 2022 | +1.8% | -23.8% |
| 2023 | +66.6% | -72.5% |
| 2024 | +32.3% | -26.2% |
| 2025 | +12.2% | -42.2% |
| 2026 | -10.8% | -31.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are TDG and VXX good diversifiers for each other?
Yes: at -0.41, the two have gone their own ways historically, which is what genuine diversification looks like.
FAQ
What is the correlation between TDG and VXX?
As of 2026-08-27, the correlation of weekly returns between TDG and VXX is -0.41 over 3 years, -0.36 over 1 year and -0.45 over 5 years.
Is VXX a good diversifier for TDG?
Yes: at -0.41, the two have gone their own ways historically, which is what genuine diversification looks like.
What does a correlation of -0.41 mean?
On the −1 to +1 scale, -0.41 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-vxx.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/tdg-vs-vxx/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: TDG correlations · VXX correlations
