American Funds Correlations

FPPPX Fund  USD 9.36  0.02  0.21%   
The current 90-days correlation between American Funds Prese and SCOR PK is 0.33 (i.e., Weak diversification). The correlation of American Funds 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.

American Funds Correlation With Market

Average diversification

The correlation between American Funds Preservation and NYA is 0.12 (i.e., Average diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding American Funds Preservation and NYA in the same portfolio, assuming nothing else is changed.
  
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in American Funds Preservation. 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 american community survey.

Moving together with American Mutual Fund

  0.81AMECX Income FundPairCorr
  0.74RNEBX New World FundPairCorr
  0.7AMFCX American MutualPairCorr
  0.83AMFFX American MutualPairCorr
  0.88RNCCX American Funds IncomePairCorr
  0.82AMEFX Income FundPairCorr
  0.81RNGGX New Economy FundPairCorr
  0.81RNGFX New Economy FundPairCorr
  0.81RNGHX New Economy FundPairCorr
  0.81RNGBX New Economy FundPairCorr
  0.7RNGAX New Economy FundPairCorr
  0.81RNGEX New Economy FundPairCorr
  0.81RNGCX New Economy FundPairCorr
  0.87AMHIX American High IncomePairCorr
  0.64TECCX Tax Exempt FundPairCorr
  0.68TEAFX Tax Exempt BondPairCorr
  0.88FPTPX American Funds ConsePairCorr
  0.7TECFX Tax Exempt FundPairCorr
  0.71TEFEX Tax Exempt FundPairCorr
  0.81RNNEX New Economy FundPairCorr
  0.84CDJAX American Funds CollegePairCorr
  0.74AMPCX Amcap Fund ClassPairCorr
  0.76AMPFX Amcap Fund ClassPairCorr
  0.86RNPBX New PerspectivePairCorr
  0.78RNPAX New PerspectivePairCorr
  0.86RNPHX New PerspectivePairCorr
  0.86RNPGX New PerspectivePairCorr
  0.86RNPCX New PerspectivePairCorr
  0.86RNPFX New PerspectivePairCorr
  0.86RNPEX New PerspectivePairCorr
  0.81AMRMX American MutualPairCorr
  0.71AMRFX American MutualPairCorr
  0.9RNRPX American Funds RetirementPairCorr
  0.88AMUSX Us Government SecuritiesPairCorr
  0.74RNWFX New World FundPairCorr

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   
VIASPMSTSX
JMCVXMSTSX
FSMEXKMX
FSMEXJMCVX
KMXJMCVX
KNFSCRYY
  
High negative correlations   
KNFVIASP
KNFMSTSX
KMXVIASP
FSMEX70082LAB3
AMPL70082LAB3
KMX70082LAB3

Risk-Adjusted Indicators

There is a big difference between American Mutual Fund performing well and American Funds 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 American Funds' 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.
Mean DeviationJensen AlphaSortino RatioTreynor RatioSemi DeviationExpected ShortfallPotential UpsideValue @RiskMaximum Drawdown
SCRYY  2.35 (0.04) 0.00 (0.06) 0.00 
 4.44 
 16.06 
MSTSX  0.47  0.01  0.03 (0.47) 0.73 
 0.92 
 3.08 
VIASP  1.32  0.33  0.15  0.22  1.78 
 3.96 
 13.41 
KNF  1.41 (0.11) 0.00 (0.09) 0.00 
 2.47 
 8.13 
70082LAB3  1.25 (0.17) 0.00 (2.35) 0.00 
 1.55 
 29.63 
AMPL  6.50 (0.21) 0.00  0.12  0.00 
 16.83 
 43.93 
FPCG  0.00  0.00  0.00  0.00  0.00 
 0.00 
 0.00 
JMCVX  0.58 (0.02) 0.00 (0.09) 0.00 
 0.99 
 3.23 
KMX  1.54 (0.20) 0.00 (0.12) 0.00 
 2.76 
 13.28 
FSMEX  0.72 (0.04) 0.00  3.99  0.00 
 1.49 
 5.26