| PXJ Etf | | | USD 28.29 0.01 0.04% |
The current 90-days correlation between Invesco Dynamic Oil and Energy Select Sector is 0.82 (i.e., Very poor diversification). A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Invesco Dynamic moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Invesco Dynamic Oil moves in either direction, the perfectly negatively correlated security will move in the opposite direction.
Invesco Dynamic Correlation With Market
Very weak diversification
The correlation between Invesco Dynamic Oil and DJI is 0.47 (i.e., Very weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Invesco Dynamic Oil and DJI in the same portfolio, assuming nothing else is changed.
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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 | XME | | XLE | | XME | | SMH | | XLB | | SMH | | SMH | | XLE | | XME | | XLB |
| | High negative correlations |
Invesco Dynamic Constituents Risk-Adjusted IndicatorsThere is a big difference between Invesco Etf performing well and Invesco Dynamic ETF 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 Invesco Dynamic'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.