MIMO systems offer a significant enhancement of data rate and channel capacity compared to traditional systems. But correlation degrades the system performance and puts a practical limit on the number of antennas that can be squeezed into portable wireless devices. Switched Parasitic Antennas (SPAs) is a possible solution especially where it is difficult to obtain enough signal decorrelation with conventional means. The covariance matrix represents the correlation present in the propagation channel and has significant impact on the MIMO channel capacity. The results of this work demonstrate a significant improvement in the MIMO channel capacity by using SPA with the knowledge of the covariance matrix for all pattern configurations. By employing the ‘Water-Pouring Algorithm’ (WPA) to modify the covariance matrix, the channel capacity is significantly improved as compared to traditional systems which just spread power equally among all the transmit antennas. A Condition Number (CN) is also proposed as a selection metric, to select the optimal pattern configuration for SPAs. CN is a channel quality indicator which represents the Eigen Value Spread (EVS) of the covariance matrix
