American Beacon Correlations

BWLYX Fund  USD 23.78  0.05  0.21%   
The current 90-days correlation between American Beacon Bridgeway and Valic Company I is 0.22 (i.e., Modest diversification). The correlation of American Beacon is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak. If the correlation is 0, the equities are not correlated; they are entirely random.

American Beacon Correlation With Market

Modest diversification

The correlation between American Beacon Bridgeway and DJI is 0.22 (i.e., Modest diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding American Beacon Bridgeway and DJI in the same portfolio, assuming nothing else is changed.
  
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in American Beacon Bridgeway. Also, note that the market value of any mutual fund could be closely tied with the direction of predictive economic indicators such as signals in manufacturing.

Moving together with American Mutual Fund

  0.96BRLGX American Beacon BridgewayPairCorr
  0.95BRLVX American Beacon BridgewayPairCorr
  0.91STMGX American Beacon StephensPairCorr
  0.94STSGX American Beacon StephensPairCorr
  0.95STSIX American Beacon StephensPairCorr
  0.92STSRX American Beacon StephensPairCorr
  0.94TIVFX Tocqueville InternationalPairCorr
  0.74GHQIX Amer Beacon GarciaPairCorr
  0.74GHQPX Amer Beacon GarciaPairCorr
  0.74GHQRX American Beacon GarciaPairCorr
  0.74GHQYX Amer Beacon GarciaPairCorr
  0.95AABPX American Beacon BalancedPairCorr
  1.0AADEX American Beacon LargePairCorr
  0.95AADBX American Beacon BalancedPairCorr
  0.93AAERX American Beacon IntlPairCorr
  0.85SFMRX American Beacon StephensPairCorr
  0.85AAGPX American Beacon LargePairCorr
  0.93AAIPX American Beacon IntePairCorr
  0.98AAIEX American Beacon IntePairCorr
  0.87SFMIX American Beacon StephensPairCorr
  0.93AAISX American Beacon IntePairCorr
  0.94AALRX American Beacon LargePairCorr
  0.95BWLRX American Beacon BridgewayPairCorr
  0.86BWLIX American Beacon BridgewayPairCorr
  0.95BWLCX American Beacon BridgewayPairCorr
  0.95BWLAX American Beacon BridgewayPairCorr
  0.88AASRX American Beacon SmallPairCorr
  0.94AASSX American Beacon SmallPairCorr
  0.85ABCAX American BeaconPairCorr

Moving against American Mutual Fund

  0.58SSIJX American Beacon SsiPairCorr
  0.42TFBAX American Beacon TwenPairCorr
  0.41TFBRX American Beacon TwenPairCorr
  0.39TFBYX American Beacon TwenPairCorr
  0.32TFBCX American Beacon TwenPairCorr

Related Correlations Analysis

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Risk-Adjusted Indicators

There is a big difference between American Mutual Fund performing well and American Beacon Mutual Fund doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze American Beacon's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.