TSEM vs VXZ: Correlation
How closely do Tower Semiconductor Ltd. (TSEM) and iPath Series B S&P 500 VIX Mid-Term Futures ETN (VXZ) trade together? Their weekly returns over three years give a correlation of -0.34, which is negative.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are TSEM and VXZ?
On 3 years of weekly data the TSEM/VXZ correlation comes out at -0.34, negative, meaning they tend to move in opposite directions. The past 12 months show a tighter link (-0.07) than the 3-year average (-0.34). The 5-year figure is -0.28, and annualized covariance runs at -454.6 %².
VXZ is close to the least connected end of TSEM's tracked universe, ranking #13 of 14. Correlation aside, the last 12 months split them widely, with TSEM ahead by 288.7 points (+272.6% versus -16.1%). Risk is not evenly split, since TSEM carries 2.0 times the volatility of the other side.
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.
TSEM vs VXZ: side by side
| TSEM (Tower Semiconductor Ltd.) | VXZ (iPath Series B S&P 500 VIX Mid-Term Futures ETN) | |
|---|---|---|
| 1-year return | +272.6% | -16.1% |
| 5-year return | +648.0% | -53.1% |
| Volatility (ann.) | 52.1% | 25.6% |
| Beta vs S&P 500 | 1.55 | -1.31 |
| Max drawdown (3Y) | -45.8% | -36.4% |
| Market cap | $24.8B | – |
| P/E (trailing) | 87.6 | – |
| Dividend yield | 0.00% | – |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | TSEM | VXZ |
|---|---|---|
| 2022 | +8.9% | +0.5% |
| 2023 | -29.4% | -44.0% |
| 2024 | +68.8% | -12.7% |
| 2025 | +128.0% | +5.7% |
| 2026 | +87.2% | -10.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are TSEM and VXZ good diversifiers for each other?
Yes. With a correlation of -0.34, TSEM and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between TSEM and VXZ?
Using weekly returns as of 2026-08-27: -0.34 over 3 years, with -0.07 over the last year and -0.28 over 5 years.
Is VXZ a good diversifier for TSEM?
Yes. With a correlation of -0.34, TSEM and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of -0.34 mean?
On the −1 to +1 scale, -0.34 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/tsem-vs-vxz.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/tsem-vs-vxz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: TSEM correlations · VXZ correlations
