VNQ vs WPC: Correlation
How closely do Vanguard Real Estate ETF (VNQ) and W. P. Carey Inc. REIT (WPC) trade together? Their weekly returns over three years give a correlation of 0.72, which is strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are VNQ and WPC?
Over the past 3 years, VNQ and WPC moved with a correlation of 0.72, which is strong. Recent behaviour matches the longer record: 0.82 over 1 year against 0.72 over 3. Over 5 years the correlation is 0.71, and the annualized covariance of weekly returns is 251.5 %².
Within VNQ's tracked universe of 149 assets, WPC comes in at #50 by 3-year correlation. Twelve-month performance is nearly a tie, at +10.3% for VNQ and +11.2% for WPC.
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.
VNQ vs WPC: side by side
| VNQ (Vanguard Real Estate ETF) | WPC (W. P. Carey Inc. REIT) | |
|---|---|---|
| 1-year return | +10.3% | +11.2% |
| 5-year return | +9.5% | +23.0% |
| Volatility (ann.) | 16.6% | 20.9% |
| Beta vs S&P 500 | 0.59 | 0.30 |
| Max drawdown (3Y) | -17.5% | -19.6% |
| Market cap | – | $16.0B |
| P/E (trailing) | – | 24.4 |
| Dividend yield | 3.51% | 5.20% |
| Expense ratio | 0.13% | – |
| Assets under management | $73.1B | – |
| Sector / category | ETF · Real Estate | US Listed |
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 | VNQ | WPC |
|---|---|---|
| 2022 | -26.3% | +0.5% |
| 2023 | +11.9% | -9.9% |
| 2024 | +4.8% | -10.6% |
| 2025 | +3.2% | +25.0% |
| 2026 | +12.5% | +12.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
WPC represents 0.84% of VNQ's portfolio, so part of any move in VNQ is WPC itself, and the correlation between them is partly mechanical.
Are VNQ and WPC good diversifiers for each other?
Only partially. A correlation of 0.72 means VNQ and WPC 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 VNQ and WPC?
As of 2026-08-27, the correlation of weekly returns between VNQ and WPC is 0.72 over 3 years, 0.82 over 1 year and 0.71 over 5 years.
Is WPC a good diversifier for VNQ?
Only partially. A correlation of 0.72 means VNQ and WPC share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.72 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/vnq-vs-wpc.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/vnq-vs-wpc/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: VNQ correlations · WPC correlations
