| Your Current Location : Correlation : Asset Class Correlation |
| |
Asset Class Correlation Matrix |
|
| |
| The following table shows return correlations between various Asset Classes over the past 1 Year. |
| |
|
|
AC1 |
AC2 |
AC3 |
AC4 |
AC5 |
AC6 |
AC7 |
AC8 |
|
Return |
SD |
| Corporate Bond |
AC1 |
1.00 |
0.99 |
0.87 |
-0.71 |
-0.86 |
0.91 |
0.17 |
0.90 |
|
6.40 |
1.19 |
| CRISIL 1 Yr T-Bill |
AC2 |
0.99 |
1.00 |
0.81 |
-0.78 |
-0.83 |
0.92 |
0.17 |
0.85 |
|
5.26 |
0.35 |
| Emerging Market |
AC3 |
0.87 |
0.81 |
1.00 |
0.63 |
-0.84 |
0.90 |
0.96 |
1.00 |
|
15.63 |
52.11 |
| Equity India |
AC4 |
-0.71 |
-0.78 |
0.63 |
1.00 |
-0.18 |
-0.13 |
0.01 |
0.60 |
|
4.81 |
20.26 |
| Gilt 10 years |
AC5 |
-0.86 |
-0.83 |
-0.84 |
-0.18 |
1.00 |
-0.91 |
-0.32 |
-0.84 |
|
-10.01 |
10.33 |
| Gold |
AC6 |
0.91 |
0.92 |
0.90 |
-0.13 |
-0.91 |
1.00 |
0.39 |
0.90 |
|
33.40 |
18.83 |
| Silver |
AC7 |
0.17 |
0.17 |
0.96 |
0.01 |
-0.32 |
0.39 |
1.00 |
0.96 |
|
17.90 |
424.41 |
| World Index |
AC8 |
0.90 |
0.85 |
1.00 |
0.60 |
-0.84 |
0.90 |
0.96 |
1.00 |
|
15.74 |
50.78 |
|
| |
| |
Note :
- Returns upto 1 year are absolute and over 1 year are compounded and annualised.
- Standard Deviations are calculated on daily return basis for the given period and are annualised.
|
| |
Intra-Portfolio Diversification 
Diversification can be quantified as the intra-portfolio correlation. This indicate Percent of diversifiable risk eliminated. |
33.56% |
| Portfolio Return |
11.14% |
| Start Date |
09 Jul 2024 |
| End Date |
08 Jul 2025 |
|
| |
| Each cell represents the correlation between the two corresponding assets. |
| |
| Cell Color |
Description |
Diversification Benefit |
| -1.00 to -0.40 |
Asset pair with negative correlation |
Excellent Diversification |
| -0.40 to 0.00 |
Asset pair with slight negative correlation |
Good Diversification |
| 0.00 to 0.60 |
Asset pair with mild positive correlation |
Moderate Diversification |
| 0.60 to 1.00 |
Asset pair with strong positive correlation |
Poor Diversification |
|
| |
|
|
| |
|
|
|
|
