Nasdaq 100 Correlations

XNDX Index   23,901  92.39  0.39%   
The current 90-days correlation between Nasdaq 100 Total and PennantPark Floating Rate is 0.31 (i.e., Weak diversification). A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Nasdaq 100 moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Nasdaq 100 Total moves in either direction, the perfectly negatively correlated security will move in the opposite direction.
The ability to find closely correlated positions to Nasdaq 100 could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Nasdaq 100 when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Nasdaq 100 - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Nasdaq 100 Total to buy it.

Moving together with Nasdaq Index

  0.61AAPL Apple IncPairCorr
  0.74MSFT MicrosoftPairCorr
  0.74NVDA NVIDIAPairCorr
  0.9AMZN Amazon IncPairCorr
  0.79GOOG Alphabet Class CPairCorr

Moving against Nasdaq Index

  0.86SUNFF Sun Life FinancialPairCorr
  0.77CWEN Clearway Energy ClassPairCorr
  0.64BRK-A Berkshire HathawayPairCorr
  0.53BMYMP Bristol Myers SquibbPairCorr
  0.52TKOMF Tokio Marine HoldingsPairCorr
  0.49FINV FinVolution GroupPairCorr
  0.47ALHC Alignment Healthcare LLCPairCorr
  0.44GTN Gray TelevisionPairCorr
  0.35AIMDW Ainos IncPairCorr
  0.32ANPMF Andean Precious MetalsPairCorr
  0.92TAIL Cambria Tail RiskPairCorr
  0.68DNSKF Danske Bank ASPairCorr
  0.56ABNOX Ab Bond InflationPairCorr
  0.55JMST JPMorgan Ultra ShortPairCorr
  0.53SPIB SPDR Barclays IntermPairCorr
  0.5VICSX Vanguard Intermediate-terPairCorr
  0.46GIOIX Guggenheim Macro OppPairCorr
  0.45GHMS Goose Hollow MultiPairCorr
  0.42LIAE Stone Ridge 2050PairCorr
  0.41GDXU MicroSectors Gold MinersPairCorr
  0.4UTF Cohen And SteersPairCorr
  0.38ACWV iShares MSCI GlobalPairCorr
  0.37SGDLX Sprott Gold EquityPairCorr

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   
SEICLASR
GAINNPFLT
LASRARW
SEICARW
SEICJBL
LASRJBL
  
High negative correlations   
LASRUMC
UMCJBL
GAINNARW
SEICUMC
SEICGAINN
GAINNLASR

Risk-Adjusted Indicators

There is a big difference between Nasdaq Index performing well and Nasdaq 100 Index 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 Nasdaq 100'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.

Did you try this?

Run Bollinger Bands Now

   

Bollinger Bands

Use Bollinger Bands indicator to analyze target price for a given investing horizon
All  Next Launch Module

Nasdaq 100 Distribution of Returns

   Predicted Return Density   
       Returns  
Nasdaq 100's volatility is measured either by using standard deviation or beta. Standard deviation will reflect the average amount of how nasdaq index's price will differ from the mean after some time.To get its calculation, you should first determine the mean price during the specified period then subtract that from each price point.

What Drives a Nasdaq 100 Price Volatility?

Several factors can influence a index's market volatility:

Industry

Specific events can influence volatility within a particular industry. For instance, a significant weather upheaval in a crucial oil-production site may cause oil prices to increase in the oil sector. The direct result will be the rise in the stock price of oil distribution companies. Similarly, any government regulation in a specific industry could negatively influence stock prices due to increased regulations on compliance that may impact the company's future earnings and growth.

Political and Economic environment

When governments make significant decisions regarding trade agreements, policies, and legislation regarding specific industries, they will influence stock prices. Everything from speeches to elections may influence investors, who can directly influence the stock prices in any particular industry. The prevailing economic situation also plays a significant role in stock prices. When the economy is doing well, investors will have a positive reaction and hence, better stock prices and vice versa.

The Company's Performance

Sometimes volatility will only affect an individual company. For example, a revolutionary product launch or strong earnings report may attract many investors to purchase the company. This positive attention will raise the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.

Nasdaq 100 Against Global Markets

Submit Nasdaq 100 Story

Become Macroaxis Nasdaq 100 Contributor

Submit your story or your unique perspective on Nasdaq 100 Total and reach a very diverse and influential demographic landscape united by one goal - building optimal portfolios
Submit Macroaxis Story
Submit Nasdaq 100 Story