UE vs VNQ: Correlation
Measured on weekly returns over the past three years, Urban Edge Properties (UE) and Vanguard Real Estate ETF (VNQ) carry a correlation of 0.81, a very strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are UE and VNQ?
On 3 years of weekly data the UE/VNQ correlation comes out at 0.81, very strong, meaning they move nearly in lockstep. Lately the two have drifted apart, with the 1-year correlation at 0.70 versus 0.81 over 3 years. The 5-year figure is 0.78, and annualized covariance runs at 311.8 %².
Within UE's tracked universe of 27 assets, VNQ comes in at #5 by 3-year correlation. Their 12-month results are close: +6.9% for UE against +10.3% for VNQ.
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.
UE vs VNQ: side by side
| UE (Urban Edge Properties) | VNQ (Vanguard Real Estate ETF) | |
|---|---|---|
| 1-year return | +6.9% | +10.3% |
| 5-year return | +37.5% | +9.5% |
| Volatility (ann.) | 23.3% | 16.6% |
| Beta vs S&P 500 | 0.70 | 0.59 |
| Max drawdown (3Y) | -29.7% | -17.5% |
| Market cap | $2.9B | – |
| P/E (trailing) | 40.2 | – |
| Dividend yield | 3.73% | 3.51% |
| Expense ratio | – | 0.13% |
| Assets under management | – | $73.1B |
| Sector / category | US Listed | ETF · Real Estate |
VNQ is a Real Estate fund from Vanguard: $73.1B under management, 140 holdings, a 0.13% expense ratio, a 3.51% trailing dividend yield.
Year-by-year returns
| Year | UE | VNQ |
|---|---|---|
| 2022 | -22.8% | -26.3% |
| 2023 | +35.3% | +11.9% |
| 2024 | +21.7% | +4.8% |
| 2025 | -7.2% | +3.2% |
| 2026 | +13.2% | +12.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
Keep in mind that VNQ holds UE at a 0.15% weight, which makes a slice of this correlation mechanical rather than coincidental.
Are UE and VNQ good diversifiers for each other?
No: a correlation of 0.81 means UE and VNQ tend to fall together, which is precisely when diversification is supposed to help.
FAQ
What is the correlation between UE and VNQ?
The UE/VNQ correlation stands at 0.81 on a 3-year window (1 year: 0.70, 5 years: 0.78), computed from weekly returns as of 2026-08-27.
Is VNQ a good diversifier for UE?
No: a correlation of 0.81 means UE and VNQ tend to fall together, which is precisely when diversification is supposed to help.
What does a correlation of 0.81 mean?
A reading of 0.81 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/ue-vs-vnq.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/ue-vs-vnq/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: UE correlations · VNQ correlations
