VBF vs VXZ: Correlation
How closely do Invesco Bond Fund (VBF) 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 -0.32, which is negative.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are VBF and VXZ?
On 3 years of weekly data the VBF/VXZ correlation comes out at -0.32, negative, meaning they tend to move in opposite directions. The past 12 months show a weaker link (-0.56) than the 3-year average (-0.32). The 5-year figure is -0.27, and annualized covariance runs at -74.3 %².
Among the 11 assets we track against VBF, VXZ sits near the bottom by co-movement, at rank #11. Their recent paths diverged sharply: over the last 12 months VBF outperformed by 16.8 percentage points (+0.7% for VBF against -16.1% for VXZ). Risk is not evenly split, since VXZ carries 2.8 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.
VBF vs VXZ: side by side
| VBF (Invesco Bond Fund) | VXZ (iPath Series B S&P 500 VIX Mid-Term Futures ETN) | |
|---|---|---|
| 1-year return | +0.7% | -16.1% |
| 5-year return | -4.4% | -53.1% |
| Volatility (ann.) | 9.2% | 25.6% |
| Beta vs S&P 500 | 0.19 | -1.31 |
| Max drawdown (3Y) | -11.5% | -36.4% |
| Market cap | $0.2B | – |
| P/E (trailing) | 14.4 | – |
| Dividend yield | 5.72% | – |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | VBF | VXZ |
|---|---|---|
| 2022 | -17.8% | +0.5% |
| 2023 | +2.3% | -44.0% |
| 2024 | +7.0% | -12.7% |
| 2025 | +5.5% | +5.7% |
| 2026 | -1.0% | -10.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are VBF and VXZ good diversifiers for each other?
By historical standards, yes. A correlation of -0.32 means the two rarely move for the same reasons.
FAQ
What is the correlation between VBF and VXZ?
As of 2026-08-27, the correlation of weekly returns between VBF and VXZ is -0.32 over 3 years, -0.56 over 1 year and -0.27 over 5 years.
Is VXZ a good diversifier for VBF?
By historical standards, yes. A correlation of -0.32 means the two rarely move for the same reasons.
What does a correlation of -0.32 mean?
A reading of -0.32 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/vbf-vs-vxz.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/vbf-vs-vxz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: VBF correlations · VXZ correlations
