Templeton Developing Correlations

Mutual Funds . USA . 
Fund . Templeton Developing Markets
TEDMX Fund  USD 20.34  0.08  0.39%   
The current 90-days correlation between Templeton Developing and Templeton Foreign Fund is 0.79 (i.e., Poor diversification). The correlation of Templeton Developing 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.

Templeton Developing Correlation With Market

Very weak diversification

The correlation between Templeton Developing Markets and DJI is 0.44 (i.e., Very weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Templeton Developing Markets and DJI in the same portfolio, assuming nothing else is changed.
  
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Templeton Developing Markets. 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 population.

Moving together with Templeton Mutual Fund

  0.78TEBIX Franklin Mutual BeaconPairCorr
  0.9TEDIX Franklin Mutual GlobalPairCorr
  0.9TEDSX Franklin Mutual GlobalPairCorr
  0.9TEDRX Franklin Mutual GlobalPairCorr
  0.95TEFRX Templeton ForeignPairCorr
  0.96TEFTX Templeton ForeignPairCorr
  0.85TEGBX Templeton Global BondPairCorr
  0.67TEGRX Templeton GrowthPairCorr
  0.95TEMFX Templeton ForeignPairCorr
  0.72TEMEX Franklin Mutual BeaconPairCorr
  0.73TEMIX Franklin Mutual EuropeanPairCorr
  0.79TEMQX Mutual QuestPairCorr
  0.75FQEMX Franklin Templeton SmacsPairCorr
  0.79TEQIX Franklin Mutual QuestPairCorr
  0.64TEPLX Templeton GrowthPairCorr
  0.85LGGAX Clearbridge InternationalPairCorr
  0.73TEURX Franklin Mutual EuropeanPairCorr
  0.77LGIEX Qs International EquityPairCorr
  0.77WAARX Western Asset TotalPairCorr

Related Correlations Analysis

Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

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   
TEDIX
+ 0.93
TEMFX
FREEX
+ 0.78
TEDIX
FREEX
+ 0.68
TEPLX
TEPLX
+ 0.65
TEDIX
FREEX
+ 0.62
TEMFX
TEPLX
+ 0.53
TEMFX
  
High negative correlations   
FRSGX
- 0.39
TEMFX
FRSGX
- 0.25
TEDIX
FREEX
- 0.08
FRSGX

Risk-Adjusted Indicators

There is a big difference between Templeton Mutual Fund performing well and Templeton Developing 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 Templeton Developing'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.

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
COMMON DESTINATIONS
MAIN CATEGORIES
COMPANY