Praxis Value Correlations

MVIIX Fund  USD 17.62  0.07  0.40%   
The current 90-days correlation between Praxis Value Index and Federated Mdt Small is 0.09 (i.e., Significant diversification). The correlation of Praxis Value 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.

Praxis Value Correlation With Market

Very poor diversification

The correlation between Praxis Value Index and DJI is 0.81 (i.e., Very poor diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Praxis Value Index and DJI in the same portfolio, assuming nothing else is changed.
  
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Praxis Value Index. 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.

Moving together with Praxis Mutual Fund

  0.96MBAPX Praxis Genesis BalancedPairCorr
  0.66MCONX Praxis Genesis ServativePairCorr
  1.0MVIAX Praxis Value IndexPairCorr
  0.91MGAFX Praxis Genesis GrowthPairCorr
  0.96VVIAX Vanguard Value IndexPairCorr
  0.88DOXGX Dodge Cox StockPairCorr
  0.93AFMFX American MutualPairCorr
  0.86FFMMX American Funds AmericanPairCorr
  0.98FFFMX American Funds AmericanPairCorr
  0.98AMRMX American MutualPairCorr
  0.74AMFFX American MutualPairCorr
  0.73AMFCX American MutualPairCorr
  0.96DODGX Dodge Stock FundPairCorr
  0.99VIVAX Vanguard Value IndexPairCorr
  0.65INPIX Internet UltrasectorPairCorr
  0.64INPSX Internet UltrasectorPairCorr
  0.66GAB Gabelli Equity TrustPairCorr
  0.62RGRPX American Funds RetirementPairCorr

Related Correlations Analysis

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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   
MSSGXQISCX
TVOYXQISCX
TVOYXSECAX
SECAXQISCX
PEVAXSECAX
TVOYXMSSGX
  
High negative correlations   
TISVXQISCX
TISVXMSSGX
TISVXSECAX
TISVXTVOYX
TISVXPEVAX
DFUKXTVOYX

Risk-Adjusted Indicators

There is a big difference between Praxis Mutual Fund performing well and Praxis Value 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 Praxis Value'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.