UNP vs VIG: Correlation
How closely do Union Pacific Corporation (UNP) and Vanguard Dividend Appreciation ETF (VIG) trade together? Their weekly returns over three years give a correlation of 0.58, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are UNP and VIG?
Across a 3-year window, the weekly returns of UNP and VIG correlate at 0.58, moderate. The link has loosened recently: the 1-year correlation (0.23) runs below the 3-year figure (0.58). Stretching to 5 years gives 0.60, with an annualized covariance of 141.0 %².
Within UNP's tracked universe of 33 assets, VIG comes in at #12 by 3-year correlation. Correlation aside, the last 12 months split them widely, with UNP ahead by 25.3 points (+42.4% versus +17.1%). This link changes with the market regime, having swung between 0.26 and 0.77 on a rolling one-year basis. One caveat on sizing: UNP is 1.7 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
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.
UNP vs VIG: side by side
| UNP (Union Pacific Corporation) | VIG (Vanguard Dividend Appreciation ETF) | |
|---|---|---|
| 1-year return | +42.4% | +17.1% |
| 5-year return | +56.5% | +64.0% |
| Volatility (ann.) | 20.6% | 11.9% |
| Beta vs S&P 500 | 0.56 | 0.74 |
| Max drawdown (3Y) | -17.8% | -15.0% |
| Market cap | $182.8B | – |
| P/E (trailing) | 25.1 | – |
| Dividend yield | 1.78% | 1.50% |
| Expense ratio | – | 0.04% |
| Assets under management | – | $130.9B |
| Sector / category | Industrials | ETF · Dividend |
VIG, Vanguard's Large Blend fund, carries $130.9B under management, 333 holdings, a 0.04% expense ratio, a 1.50% trailing dividend yield.
Year-by-year returns
| Year | UNP | VIG |
|---|---|---|
| 2022 | -15.9% | -9.8% |
| 2023 | +21.6% | +14.5% |
| 2024 | -5.1% | +17.0% |
| 2025 | +3.9% | +14.2% |
| 2026 | +34.4% | +11.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
A structural note: 0.75% of VIG is UNP itself, so the fund partly moves with the stock by construction.
Are UNP and VIG good diversifiers for each other?
Only partially. A correlation of 0.58 means UNP and VIG share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between UNP and VIG?
As of 2026-08-27, the correlation of weekly returns between UNP and VIG is 0.58 over 3 years, 0.23 over 1 year and 0.60 over 5 years.
Is VIG a good diversifier for UNP?
Only partially. A correlation of 0.58 means UNP and VIG share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.58 mean?
A reading of 0.58 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/unp-vs-vig.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/unp-vs-vig/)
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Related comparisons
Hubs: UNP correlations · VIG correlations
