| Your Current Location : Correlation : Asset Class Correlation |
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Asset Class Correlation Matrix |
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| The following table shows return correlations between various Asset Classes over the past 2 Years. |
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AC1 |
AC2 |
AC3 |
AC4 |
AC5 |
AC6 |
AC7 |
AC8 |
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Return |
SD |
| Corporate Bond |
AC1 |
1.00 |
1.00 |
0.98 |
0.88 |
-0.81 |
0.96 |
0.37 |
0.98 |
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7.49 |
1.31 |
| CRISIL 1 Yr T-Bill |
AC2 |
1.00 |
1.00 |
0.98 |
0.88 |
-0.76 |
0.95 |
0.37 |
0.98 |
|
6.90 |
0.45 |
| Emerging Market |
AC3 |
0.98 |
0.98 |
1.00 |
0.96 |
-0.23 |
0.84 |
0.08 |
1.00 |
|
15.34 |
40.19 |
| Equity India |
AC4 |
0.88 |
0.88 |
0.96 |
1.00 |
-0.58 |
0.75 |
0.33 |
0.96 |
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16.12 |
16.73 |
| Gilt 10 years |
AC5 |
-0.81 |
-0.76 |
-0.23 |
-0.58 |
1.00 |
-0.85 |
-0.33 |
-0.21 |
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-4.15 |
8.39 |
| Gold |
AC6 |
0.96 |
0.95 |
0.84 |
0.75 |
-0.85 |
1.00 |
0.43 |
0.84 |
|
23.56 |
15.88 |
| Silver |
AC7 |
0.37 |
0.37 |
0.08 |
0.33 |
-0.33 |
0.43 |
1.00 |
0.07 |
|
11.85 |
639.47 |
| World Index |
AC8 |
0.98 |
0.98 |
1.00 |
0.96 |
-0.21 |
0.84 |
0.07 |
1.00 |
|
16.58 |
41.50 |
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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.
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Intra-Portfolio Diversification 
Diversification can be quantified as the intra-portfolio correlation. This indicate Percent of diversifiable risk eliminated. |
25.31% |
| Portfolio Return |
11.71% |
| Start Date |
03 May 2023 |
| End Date |
02 May 2025 |
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| Each cell represents the correlation between the two corresponding assets. |
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| 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 |
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