Micro Gold Correlations
| MGCUSD Commodity | 2,355 9.90 0.42% |
The correlation of Micro Gold 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 Micro Gold moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Micro Gold Futures 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.
Modest diversification
The correlation between Micro Gold Futures and NYA is 0.2 (i.e., Modest diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Micro Gold Futures and NYA in the same portfolio, assuming nothing else is changed.
Micro |
The ability to find closely correlated positions to Micro Gold could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Micro Gold 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 Micro Gold - 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 Micro Gold Futures to buy it.
Moving together with Micro Commodity
| 0.82 | GOOG | Alphabet Class C | PairCorr |
| 0.64 | AMZN | Amazon Inc | PairCorr |
| 0.69 | CWEN | Clearway Energy Class | PairCorr |
| 0.82 | RIO | Rio Tinto ADR | PairCorr |
| 0.76 | VCTR | Victory Capital Holdings | PairCorr |
| 0.69 | AEG | Aegon NV ADR | PairCorr |
| 0.89 | GNRC | Generac Holdings | PairCorr |
| 0.68 | TTNDY | Techtronic Industries | PairCorr |
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
| High negative correlations
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Risk-Adjusted Indicators
There is a big difference between Micro Commodity performing well and Micro Gold Commodity 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 Micro Gold'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.| Mean Deviation | Jensen Alpha | Sortino Ratio | Treynor Ratio | Semi Deviation | Expected Shortfall | Potential Upside | Value @Risk | Maximum Drawdown | ||
|---|---|---|---|---|---|---|---|---|---|---|
| ZOUSX | 1.26 | 0.02 | 0.00 | (0.12) | 1.90 | 2.37 | 9.01 | |||
| KEUSX | 1.58 | 0.34 | 0.18 | 0.60 | 1.53 | 3.33 | 8.01 | |||
| GFUSX | 0.72 | 0.06 | 0.04 | (0.40) | 0.82 | 1.60 | 6.16 | |||
| SILUSD | 1.16 | 0.55 | 0.36 | 2.38 | 0.80 | 4.40 | 9.35 | |||
| ZQUSD | 0.00 | (0.01) | 0.00 | 7.32 | 0.00 | 0.01 | 0.02 | |||
| YMUSD | 0.51 | (0.02) | 0.00 | (0.08) | 0.00 | 1.01 | 2.96 | |||
| RBUSD | 0.98 | (0.05) | 0.00 | (0.37) | 0.00 | 1.59 | 6.87 | |||
| ZRUSD | 580.41 | 296.28 | 12.12 | (23.83) | 3.64 | 3.25 | 9,999 | |||
| PLUSD | 1.15 | 0.27 | 0.17 | 3.16 | 1.20 | 3.01 | 7.73 | |||
| ZSUSX | 0.75 | 0.10 | 0.09 | 0.21 | 0.84 | 1.68 | 5.36 |
View Micro Gold Related Equities
| Risk & Return | Correlation |
Already Invested in Micro Gold Futures?
The danger of trading Micro Gold Futures is mainly related to its market volatility and Commodity 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 Micro Gold 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 Micro Gold. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Micro Gold Futures 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 Correlation Analysis to better understand how to build diversified portfolios. Also, note that the market value of any commodity could be tightly coupled with the direction of predictive economic indicators such as signals in employment. Note that the Micro Gold Futures information on this page should be used as a complementary analysis to other Micro Gold's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.