Locorr Spectrum Correlations

LSPAX Fund  USD 5.61  0.03  0.53%   
The current 90-days correlation between Locorr Spectrum Income and American Funds Conservative is 0.71 (i.e., Poor diversification). The correlation of Locorr Spectrum 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.

Locorr Spectrum Correlation With Market

Significant diversification

The correlation between Locorr Spectrum Income and DJI is 0.01 (i.e., Significant diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Locorr Spectrum Income and DJI in the same portfolio, assuming nothing else is changed.
  
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Locorr Spectrum Income. 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 nation.

Moving together with Locorr Mutual Fund

  0.99LSPCX Locorr Spectrum IncomePairCorr
  1.0LSPIX Locorr Spectrum IncomePairCorr

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   
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BICPXPDNIX
BICPXMDBLX
PDNIXXHNWX
PDNIXMDBLX
LIGFXFPTPX
  
High negative correlations   
LIGFXMDBLX

Risk-Adjusted Indicators

There is a big difference between Locorr Mutual Fund performing well and Locorr Spectrum 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 Locorr Spectrum'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.