Real Estate Correlations

DPRDX Fund  USD 12.57  0.03  0.24%   
The current 90-days correlation between Real Estate and Optimum Small Mid Cap is 0.44 (i.e., Very weak diversification). The correlation of Real Estate 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.

Real Estate Correlation With Market

Weak diversification

The correlation between The Real Estate and DJI is 0.32 (i.e., Weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding The Real Estate and DJI in the same portfolio, assuming nothing else is changed.
  
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in The Real Estate. 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 unemployment.

Moving together with Real Mutual Fund

  0.96IMAAX Ivy Apollo MultiPairCorr
  0.72OCFIX Optimum Fixed IncomePairCorr
  0.74OCIEX Optimum InternationalPairCorr
  0.66CXHYX Delaware National HighPairCorr
  0.64FTNYX Delaware Tax FreePairCorr
  0.67FTORX First Investors TaxPairCorr
  0.66FTOTX First Investors TaxPairCorr
  0.68DLTRX Delaware Limited TermPairCorr
  0.62DMOCX Delaware Tax FreePairCorr
  0.67DMTFX Delaware Tax FreePairCorr
  0.67DMUSX Delaware Tax FreePairCorr
  0.73OIFIX Optimum Fixed IncomePairCorr
  0.73OIIEX Optimum InternationalPairCorr
  0.63VCTFX Delaware Tax FreePairCorr
  0.71DPCFX Delaware DiversifiedPairCorr
  0.7DPDFX Delaware DiversifiedPairCorr
  0.72DPFFX Delaware DiversifiedPairCorr

Moving against Real Mutual Fund

  0.32FGIPX First Investors GrowthPairCorr
  0.32FGINX First Investors GrowthPairCorr

Related Correlations Analysis

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Correlation Matchups

Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.
High positive correlations   
OCSGXOASGX
OASVXOASGX
WSGAXOASGX
OCSGXOASVX
OCSGXWSGAX
OCLVXOASVX
  
High negative correlations   
OCLGXOCFIX
OCFIXOASVX
OCLVXOCFIX
OCFIXOASGX
OCSGXOCFIX
WSGAXOCFIX

Risk-Adjusted Indicators

There is a big difference between Real Mutual Fund performing well and Real Estate 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 Real Estate'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.
Mean DeviationJensen AlphaSortino RatioTreynor RatioSemi DeviationExpected ShortfallPotential UpsideValue @RiskMaximum Drawdown
OASGX  0.85 (0.02) 0.01  0.11  1.00 
 1.88 
 5.94 
OASVX  0.78 (0.01) 0.03  0.12  0.66 
 1.70 
 6.37 
IMAAX  0.34 (0.03)(0.30)(0.03) 0.42 
 0.62 
 2.15 
OCFIX  0.23 (0.01) 0.00  0.43  0.00 
 0.45 
 1.26 
WASAX  0.42 (0.04)(0.15) 0.05  0.59 
 0.79 
 3.08 
WSGAX  0.96 (0.07)(0.01) 0.08  1.09 
 2.15 
 7.25 
OCIEX  0.61 (0.07)(0.17)(0.02) 0.77 
 1.23 
 3.78 
OCLVX  0.50 (0.03)(0.09) 0.10  0.42 
 1.04 
 3.34 
OCLGX  0.73  0.00 (0.01) 0.13  1.12 
 1.59 
 5.02 
OCSGX  0.84 (0.03) 0.01  0.11  0.92 
 1.83 
 6.05