| SPEM Etf | | | USD 39.31 0.15 0.38% |
The current 90-days correlation between SPDR Portfolio Emerging and iShares MSCI Emerging is 0.94 (i.e., Almost no diversification). A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as SPDR Portfolio moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if SPDR Portfolio Emerging moves in either direction, the perfectly negatively correlated security will move in the opposite direction.
SPDR Portfolio Correlation With Market
Modest diversification
The correlation between SPDR Portfolio Emerging and DJI is 0.28 (i.e., Modest diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding SPDR Portfolio Emerging and DJI in the same portfolio, assuming nothing else is changed.
Check out
World Market Map to better understand how to build diversified portfolios, which includes a position in SPDR Portfolio Emerging. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as
signals in income.
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 | EEMA | | EEMV | | EEMV | | IFGL | | EEMA | | IFGL | | EEMA | | FM |
| | High negative correlations |
SPDR Portfolio Constituents Risk-Adjusted IndicatorsThere is a big difference between SPDR Etf performing well and SPDR Portfolio ETF 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 SPDR Portfolio'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.