| IFAIX Fund | | | USD 24.05 0.01 0.04% |
The current 90-days correlation between Infrastructure Fund and Fidelity Asset Manager is 0.87 (i.e., Very poor diversification). The correlation of Infrastructure Fund 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.
Infrastructure Fund Correlation With Market
Poor diversification
The correlation between Infrastructure Fund Institutio and DJI is 0.69 (i.e., Poor diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Infrastructure Fund Institutio and DJI in the same portfolio, assuming nothing else is changed.
Check out
Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Infrastructure Fund Institutional. 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 gross domestic product.