ULCC vs VXZ: Correlation
How closely do Frontier Group Holdings, Inc. (ULCC) 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 -0.30, which is negative.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ULCC and VXZ?
Over the past 3 years, ULCC and VXZ moved with a correlation of -0.30, which is negative, meaning they tend to move in opposite directions. The link has loosened recently: the 1-year correlation (-0.46) runs below the 3-year figure (-0.30). Over 5 years the correlation is -0.37, and the annualized covariance of weekly returns is -631.0 %².
Among the 15 assets we track against ULCC, VXZ sits near the bottom by co-movement, at rank #14. Their recent paths diverged sharply: over the last 12 months ULCC outperformed by 39.5 percentage points (+23.4% for ULCC against -16.1% for VXZ). Risk is not evenly split, since ULCC carries 3.2 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.
ULCC vs VXZ: side by side
| ULCC (Frontier Group Holdings, Inc.) | VXZ (iPath Series B S&P 500 VIX Mid-Term Futures ETN) | |
|---|---|---|
| 1-year return | +23.4% | -16.1% |
| 5-year return | -61.9% | -53.1% |
| Volatility (ann.) | 81.0% | 25.6% |
| Beta vs S&P 500 | 2.06 | -1.31 |
| Max drawdown (3Y) | -70.4% | -36.4% |
| Market cap | $1.4B | – |
| P/E (trailing) | – | – |
| Dividend yield | 0.00% | – |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | ULCC | VXZ |
|---|---|---|
| 2022 | -24.3% | +0.5% |
| 2023 | -46.8% | -44.0% |
| 2024 | +30.2% | -12.7% |
| 2025 | -33.8% | +5.7% |
| 2026 | +25.5% | -10.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ULCC and VXZ good diversifiers for each other?
By historical standards, yes. A correlation of -0.30 means the two rarely move for the same reasons.
FAQ
What is the correlation between ULCC and VXZ?
The ULCC/VXZ correlation stands at -0.30 on a 3-year window (1 year: -0.46, 5 years: -0.37), computed from weekly returns as of 2026-08-27.
Is VXZ a good diversifier for ULCC?
By historical standards, yes. A correlation of -0.30 means the two rarely move for the same reasons.
What does a correlation of -0.30 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/ulcc-vs-vxz.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/ulcc-vs-vxz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: ULCC correlations · VXZ correlations
