Xtrackers Correlations

XJSE Etf  EUR 7.30  0.04  0.54%   
The correlation of Xtrackers 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 perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Xtrackers moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Xtrackers II moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.

Significant diversification

The correlation between Xtrackers II and NYA is 0.05 (i.e., Significant diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Xtrackers II and NYA in the same portfolio, assuming nothing else is changed.
Check out Your Current Watchlist to better understand how to build diversified portfolios, which includes a position in Xtrackers II . Also, note that the market value of any etf could be tightly coupled with the direction of predictive economic indicators such as signals in income.
  
The ability to find closely correlated positions to Xtrackers could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Xtrackers 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 Xtrackers - 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 Xtrackers II to buy it.

Moving together with Xtrackers Etf

  0.79XDJP Xtrackers Nikkei 225PairCorr
  0.78SXRZ iShares VII PLCPairCorr
  0.78EXX7 iShares Nikkei 225PairCorr
  0.67DBPD Xtrackers ShortDAXPairCorr

Moving against Xtrackers Etf

  0.85IS3N iShares Core MSCIPairCorr
  0.84IBC3 iShares Core MSCIPairCorr
  0.82GQ9 SPDR Gold SharesPairCorr
  0.73BATE LG Battery ValuePairCorr
  0.69DBPE Xtrackers LevDAXPairCorr
  0.65SXR8 iShares Core SPPairCorr
  0.61VUSA Vanguard Funds PublicPairCorr

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   
CRMUBER
JPMT
AT
JPMA
CRMMETA
UBERMETA
  
High negative correlations   
XOMUBER
MRKUBER
XOMCRM
MRKMETA
MRKCRM
JPMUBER

Xtrackers Competition Risk-Adjusted Indicators

There is a big difference between Xtrackers Etf performing well and Xtrackers 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 Xtrackers' 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
META  1.51 (0.09)(0.03) 0.00  2.45 
 3.21 
 14.43 
MSFT  0.96  0.02  0.03  0.09  1.14 
 2.22 
 5.87 
UBER  1.41 (0.33) 0.00 (0.17) 0.00 
 2.46 
 9.02 
F  1.32 (0.13)(0.04) 0.00  1.78 
 2.84 
 10.93 
T  0.77  0.06  0.00  0.31  0.92 
 1.61 
 4.04 
A  1.19  0.10  0.10  0.14  1.20 
 2.74 
 6.31 
CRM  1.15 (0.11)(0.04) 0.00  1.98 
 2.64 
 10.84 
JPM  0.86  0.06  0.05  0.11  1.51 
 1.94 
 8.41 
MRK  0.66  0.00 (0.03) 0.07  0.66 
 2.20 
 6.69 
XOM  0.76  0.15  0.12  0.41  0.77 
 1.77 
 4.83 

Be your own money manager

Our tools can tell you how much better you can do entering a position in Xtrackers without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

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Already Invested in Xtrackers II ?

The danger of trading Xtrackers II is mainly related to its market volatility and ETF specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Xtrackers is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Xtrackers. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Xtrackers II is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
Check out Your Current Watchlist to better understand how to build diversified portfolios, which includes a position in Xtrackers II . Also, note that the market value of any etf could be tightly coupled with the direction of predictive economic indicators such as signals in income.
You can also try the Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
Please note, there is a significant difference between Xtrackers' value and its price as these two are different measures arrived at by different means. Investors typically determine if Xtrackers is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Xtrackers' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.