Rolling Correlations

Correlations are not static — assets that usually diversify can move together in a crisis. Track how each pair's correlation has shifted over time, and watch the average pairwise correlation as a gauge of how much real diversification your basket provides.

Educational use only — not investment advice

This tool is for educational and informational purposes only and does not provide financial, investment, tax, legal, or accounting advice. Results are hypothetical and based on historical data and assumptions that may be inaccurate. Past performance does not guarantee future results. Consult a licensed professional before making investment decisions.

Asset AnalyticsIntermediate

What is the Rolling Correlations?

Correlations aren't constant — track how each pair's relationship has evolved, plus the basket's average correlation.

A pair of assets that usually diversifies can suddenly move together in a crisis — exactly when you need diversification most. The Rolling Correlations tool charts a moving-window correlation for every pair over time and overlays the average pairwise correlation as a gauge of how much real diversification your basket is providing at any moment.

How to use it

  1. 1Enter the tickers whose relationship you want to track over time.
  2. 2Pick a date range, a return frequency, and the length of the rolling window.
  3. 3Run it to watch each pair's correlation move through different market regimes, with an average-pairwise line showing how much real diversification your basket provides at any moment.

What you'll get

  • Rolling correlation per pair
  • Average-pairwise-correlation trend
  • Latest / average / min / max per pair
New here? See it in action
Stocks vs. long Treasuries vs. gold Track VTI, TLT, and GLD to watch the famous stock–bond correlation swing from negative to positive across different regimes.
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Tickers

How the Rolling Correlations works

For each window, correlation is recomputed on the returns inside it, producing a time series. The average line aggregates all pairs to show whole-portfolio diversification over time.

Rolling Correlations — Informed Portfolio