American Funds Correlations

FAOTX Fund

USD 14.26 0.06 0.42%

The current 90-days correlation between American Funds 2020 and American Funds 2025 is 0.99 (i.e., No risk reduction). The correlation of American Funds 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.

American Funds Correlation With Market

Poor diversification

The correlation between American Funds 2020 and DJI is 0.73 (i.e., Poor diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding American Funds 2020 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 American Funds 2020. 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 estimate.

Moving together with American Mutual Fund

0.79	AMECX	Income Fund	Pair Corr
0.72	RNEBX	New World Fund	Pair Corr
0.74	AMFCX	American Mutual	Pair Corr
0.72	AMFFX	American Mutual	Pair Corr
0.98	RNCCX	American Funds Income	Pair Corr
0.97	FPTPX	American Funds Conse	Pair Corr
0.81	RNPBX	New Perspective	Pair Corr
0.81	RNPAX	New Perspective	Pair Corr
0.8	RNPHX	New Perspective	Pair Corr
0.8	RNPGX	New Perspective	Pair Corr
0.81	RNPCX	New Perspective	Pair Corr
0.8	RNPFX	New Perspective	Pair Corr
0.72	AMRMX	American Mutual	Pair Corr
0.72	AMRFX	American Mutual	Pair Corr
0.99	RNRPX	American Funds Retirement	Pair Corr
0.73	RNWFX	New World Fund	Pair Corr
0.73	RNWEX	New World Fund	Pair Corr
0.73	RNWHX	New World Fund	Pair Corr
0.73	RNWGX	New World Fund	Pair Corr
0.72	RNWAX	New World Fund	Pair Corr
0.73	RNWCX	New World Fund	Pair Corr

Related Correlations Analysis

	FAPTX	FAETX	FAQTX	FAUTX	FAATX
FAPTX		0.96	0.89	0.81	0.98	FAPTX
FAETX	0.96		0.98	0.94	0.9	FAETX
FAQTX	0.89	0.98		0.99	0.81	FAQTX
FAUTX	0.81	0.94	0.99		0.71	FAUTX
FAATX	0.98	0.9	0.81	0.71		FAATX
	FAPTX	FAETX	FAQTX	FAUTX	FAATX

Click cells to compare fundamentals

Check Volatility

Backtest Portfolio

Risk-Adjusted Indicators

There is a big difference between American Mutual Fund performing well and American Funds 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 American Funds' 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
FAPTX	0.26	(0.02)	(0.31)	0.05	0.28	(0.28)	0.51	(0.63)	1.39
FAETX	0.31	(0.03)	(0.20)	0.07	0.37	(0.34)	0.64	(0.73)	1.80
FAQTX	0.36	(0.03)	(0.16)	0.08	0.44	(0.39)	0.74	(0.86)	2.20
FAUTX	0.44	(0.03)	(0.11)	0.08	0.56	(0.44)	0.84	(1.09)	2.64
FAATX	0.22	(0.02)	(0.37)	0.06	0.21	(0.25)	0.41	(0.41)	1.22

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

American Funds Correlations

American Funds Correlation With Market

Poor diversification

Moving together with American Mutual Fund

Related Correlations Analysis

Risk-Adjusted Indicators

COMMON DESTINATIONS

MAIN CATEGORIES

COMPANY