Emerging Markets Correlations

USEMX Fund

USD 20.95 0.03 0.14%

The current 90-days correlation between Emerging Markets and Pioneer Diversified High is -0.11 (i.e., Good diversification). The correlation of Emerging Markets 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.

Emerging Markets Correlation With Market

Weak diversification

The correlation between Emerging Markets Fund and DJI is 0.37 (i.e., Weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Emerging Markets Fund 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 Emerging Markets Fund. 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 population.

Moving together with Emerging Mutual Fund

0.69	SBALX	Victory Strategic	Pair Corr
0.99	RSENX	Victory Sophus Emerging	Pair Corr
0.73	RSIGX	Victory Rs International	Pair Corr

Related Correlations Analysis

	XHNWX	CFAIX	FZABX	HUDEX	ODIDX	PGFCX
XHNWX		0.55	0.1	0.0	0.23	0.64	XHNWX
CFAIX	0.55		0.71	-0.12	-0.22	0.71	CFAIX
FZABX	0.1	0.71		-0.13	-0.44	0.39	FZABX
HUDEX	0.0	-0.12	-0.13		0.68	0.32	HUDEX
ODIDX	0.23	-0.22	-0.44	0.68		0.37	ODIDX
PGFCX	0.64	0.71	0.39	0.32	0.37		PGFCX
	XHNWX	CFAIX	FZABX	HUDEX	ODIDX	PGFCX

Click cells to compare fundamentals

Check Volatility

Backtest Portfolio

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

FZABX	+ 0.71	CFAIX
PGFCX	+ 0.71	CFAIX
ODIDX	+ 0.68	HUDEX
PGFCX	+ 0.64	XHNWX
CFAIX	+ 0.55	XHNWX
PGFCX	+ 0.39	FZABX

High negative correlations

ODIDX	- 0.44	FZABX
ODIDX	- 0.22	CFAIX
HUDEX	- 0.13	FZABX
HUDEX	- 0.12	CFAIX
HUDEX	- 0.0	XHNWX

Risk-Adjusted Indicators

There is a big difference between Emerging Mutual Fund performing well and Emerging Markets 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 Emerging Markets' 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 Deviation	Jensen Alpha	Sortino Ratio	Treynor Ratio	Semi Deviation	Expected Shortfall	Potential Upside	Value @Risk	Maximum Drawdown
XHNWX	0.14	0.00	(0.32)	0.00	0.21	(0.16)	0.31	(0.46)	1.39
CFAIX	0.24	(0.03)	(0.39)	0.01	0.26	(0.26)	0.44	(0.49)	1.43
FZABX	0.70	(0.13)	0.00	(0.08)	0.00	0.00	1.18	(1.71)	4.32
HUDEX	0.66	0.05	(0.08)	1.28	0.73	(0.72)	1.53	(1.15)	5.46
ODIDX	0.07	0.03	0.00	1.20	0.00	0.00	0.11	(0.11)	0.44
PGFCX	0.23	0.01	(0.34)	0.57	0.21	(0.28)	0.48	(0.48)	1.43

Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions

Feedback Blog

Made with optimal in San Francisco

2024 Macroaxis LLC