| 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 |
0.96 |
0.81 |
-0.95 |
0.95 |
0.35 |
0.96 |
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6.60 |
1.28 |
| CRISIL 1 Yr T-Bill |
AC2 |
1.00 |
1.00 |
0.94 |
0.78 |
-0.93 |
0.96 |
0.36 |
0.94 |
|
5.75 |
0.43 |
| Emerging Market |
AC3 |
0.96 |
0.94 |
1.00 |
0.94 |
-0.92 |
0.93 |
0.34 |
1.00 |
|
15.51 |
41.23 |
| Equity India |
AC4 |
0.81 |
0.78 |
0.94 |
1.00 |
-0.71 |
0.73 |
0.40 |
0.94 |
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12.76 |
17.48 |
| Gilt 10 years |
AC5 |
-0.95 |
-0.93 |
-0.92 |
-0.71 |
1.00 |
-0.93 |
-0.44 |
-0.92 |
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-3.91 |
9.01 |
| Gold |
AC6 |
0.95 |
0.96 |
0.93 |
0.73 |
-0.93 |
1.00 |
0.52 |
0.93 |
|
31.10 |
17.03 |
| Silver |
AC7 |
0.35 |
0.36 |
0.34 |
0.40 |
-0.44 |
0.52 |
1.00 |
0.34 |
|
25.63 |
640.13 |
| World Index |
AC8 |
0.96 |
0.94 |
1.00 |
0.94 |
-0.92 |
0.93 |
0.34 |
1.00 |
|
16.23 |
41.92 |
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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. |
27.68% |
| Portfolio Return |
13.71% |
| Start Date |
31 Aug 2023 |
| End Date |
29 Aug 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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