AMERICAN FUNDS Correlations

RCATX
 Fund
  

USD 11.31  0.02  0.18%   

The correlation of AMERICAN FUNDS is a statistical measure of how it moves in relation to other equities. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as AMERICAN FUNDS moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if AMERICAN FUNDS 2010 moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Additionally, take a look at Your Equity Center.
  
The ability to find closely correlated positions to AMERICAN FUNDS could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace AMERICAN FUNDS when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back AMERICAN FUNDS - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling AMERICAN FUNDS 2010 to buy it.

Moving together with AMERICAN FUNDS

+0.97FFFCXFIDELITY FREEDOM 2010PairCorr
+1.0RBATXAMERICAN FUNDS 2010PairCorr
+1.0REATXAMERICAN FUNDS 2010PairCorr
+1.0AAATXAMERICAN FUNDS 2010PairCorr
+1.0RFTTXAMERICAN FUNDS 2010PairCorr
+1.0RDATXAMERICAN FUNDS 2010PairCorr
+1.0FAATXAMERICAN FUNDS 2010PairCorr
+0.97FOTKXFIDELITY FREEDOM 2010PairCorr
+1.0RHATXAMERICAN FUNDS 2010PairCorr
+0.81LSVQXLSV SMALL CAPPairCorr
+0.9PPROXPutnam PanAgora RiskPairCorr
+0.88HWGAXHOTCHKIS WILEY GLOBALPairCorr
+0.89BEMCXBRANDES EMERGING MARKETSPairCorr
+0.86SFPIXFINANCIAL SERVICESPairCorr
+0.89INAAXALPSKOTAK INDIA GROWTHPairCorr
+0.9PPRPXPutnam PanAgora RiskPairCorr
+0.86PFHCXPACIFIC FUNDS SMALL-CAPPairCorr
+0.99VWIAXVANGUARD WELLESLEY INCOMEPairCorr

Related Correlations

Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

Correlation Matchups

The Correlation Coefficient is a useful tool to identify correlated or non-correlated securities, which is essential in developing a diversified portfolio. It tells us the relationship between two positions you have in your portfolio or considering acquiring. Over a given time period, the two securities movetogether 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   
KNGOALC
KNGSCRYY
OALCSCRYY
SVINEVER
KNGBRRAY
BRRAYSCRYY
  
High negative correlations   
GALEVER
SVINBRRAY
EVERBRRAY
GALSVIN
IDBRRAY
KNGID

AMERICAN FUNDS Competition Risk-Adjusted Indicators

Nowadays, there is a big difference between AMERICAN Mutual Fund performing well and AMERICAN FUNDS Mutual Fund doing well compared to the competition. There are way too many exceptions to the normal that investors can tell for sure what's good or bad unless they analyze AMERICAN FUNDS's multiple risk-adjusted performance indicators. 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
Information
Ratio
Expected
Shortfall
Potential
Upside
Value
At Risk
Maximum
Drawdown
SCRYY 3.32  0.26  0.06  0.37  3.78  0.06 (3.68)  8.33 (6.63)  19.45 
OALC 1.27 (0.02) (0.01)  0.08  1.34 (0.0105) (1.48)  2.82 (2.35)  7.23 
BRRAY 0.56  0.03  0.00  0.31  0.00 (0.0245)  0.00  0.00  0.00  16.30 
EVER 4.00 (1.18)  0.00 (6.02)  0.00 (0.21)  0.00  8.73 (9.97)  38.93 
ID 2.05 (0.43)  0.00  3.10  0.00 (0.19)  0.00  3.44 (4.89)  15.85 
SVIN 1.25 (0.22)  0.00 (1.31)  0.00 (0.12)  0.00  2.11 (4.72)  17.83 
XTWO 0.13 (0.02)  0.00 (0.22)  0.00 (0.62)  0.00  0.32 (0.26)  0.75 
GAL 2.62 (0.25)  0.00  0.61  0.00 (0.07)  0.00  4.58 (5.71)  45.44 
KNG 1.17  0.02  0.01  0.12  1.31  0.0106 (1.23)  2.34 (1.93)  8.37 
SOMLF 0.63 (0.05)  0.00  1.16  0.00 (0.09)  0.00  2.73 (1.54)  8.90 

Be your own money manager

Our tools can tell you how much better you can do entering a position in AMERICAN FUNDS without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

Did you try this?

Run Idea Optimizer Now

   

Idea Optimizer

Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio
All  Next Launch Module

Invested in AMERICAN FUNDS 2010?

The danger of trading AMERICAN FUNDS 2010 is mainly related to its market volatility and Mutual Fund specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of AMERICAN FUNDS is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than AMERICAN FUNDS. The Shape ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile AMERICAN FUNDS 2010 is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
Additionally, take a look at Your Equity Center. You can also try Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.

Complementary Tools for analysis

When running AMERICAN FUNDS 2010 price analysis, check to measure AMERICAN FUNDS's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy AMERICAN FUNDS is operating at the current time. Most of AMERICAN FUNDS's value examination focuses on studying past and present price action to predict the probability of AMERICAN FUNDS's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move AMERICAN FUNDS's price. Additionally, you may evaluate how the addition of AMERICAN FUNDS to your portfolios can decrease your overall portfolio volatility.
Price Exposure Probability
Analyze equity upside and downside potential for a given time horizon across multiple markets
Go
Probability Of Bankruptcy
Get analysis of equity chance of financial distress in the next 2 years
Go
Equity Valuation
Check real value of public entities based on technical and fundamental data
Go
Pattern Recognition
Use different Pattern Recognition models to time the market across multiple global exchanges
Go
Idea Analyzer
Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas
Go
Portfolio Suggestion
Get suggestions outside of your existing asset allocation including your own model portfolios
Go
Idea Optimizer
Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio
Go
Probability Of Bankruptcy
Get analysis of equity chance of financial distress in the next 2 years
Go
Companies Directory
Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals
Go
Content Syndication
Quickly integrate customizable finance content to your own investment portal
Go
CEO Directory
Screen CEOs from public companies around the world
Go
Idea Optimizer
Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio
Go
Please note, there is a significant difference between AMERICAN FUNDS's value and its price as these two are different measures arrived at by different means. Investors typically determine AMERICAN FUNDS value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, AMERICAN FUNDS's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.