First Trust Correlations

FDEC Etf  USD 47.11  0.05  0.11%   
The current 90-days correlation between First Trust Exchange and FT Cboe Vest is 0.97 (i.e., Almost no diversification). The correlation of First Trust 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 correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.

First Trust Correlation With Market

Almost no diversification

The correlation between First Trust Exchange Traded and DJI is 0.9 (i.e., Almost no diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding First Trust Exchange Traded and DJI in the same portfolio, assuming nothing else is changed.
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in First Trust Exchange Traded. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as signals in income.

Moving together with First Etf

  0.97INOV Innovator ETFs TrustPairCorr
  1.0BUFR First Trust CboePairCorr
  1.0BUFD FT Cboe VestPairCorr
  1.0PSEP Innovator SP 500PairCorr
  1.0PJAN Innovator SP 500PairCorr
  0.99PJUL Innovator SP 500PairCorr
  1.0PAUG Innovator Equity PowerPairCorr
  1.0DNOV FT Cboe VestPairCorr
  0.98PMAY Innovator SP 500PairCorr
  0.99PJUN Innovator SP 500PairCorr
  0.88BTCL T Rex 2XPairCorr
  0.88BITU ProShares TrustPairCorr
  0.89BTFX Valkyrie Bitcoin FuturesPairCorr
  0.88BITX Volatility Shares TrustPairCorr
  0.8MSTY YieldMax MSTR Option Downward RallyPairCorr
  0.97DFEN Direxion Daily AerospacePairCorr
  0.94BA BoeingPairCorr
  0.91DD Dupont De NemoursPairCorr
  0.98CAT CaterpillarPairCorr
  0.77INTC Intel Earnings Call This WeekPairCorr
  0.96DIS Walt DisneyPairCorr
  0.97AXP American ExpressPairCorr
  0.98CSCO Cisco SystemsPairCorr
  0.98BAC Bank of AmericaPairCorr
  0.87PFE Pfizer IncPairCorr
  0.98MSFT MicrosoftPairCorr

Moving against First Etf

  0.9WTID UBS ETRACSPairCorr
  0.58KO Coca Cola Earnings Call This WeekPairCorr
  0.51PG Procter GamblePairCorr
  0.37VZ Verizon Communications Earnings Call TomorrowPairCorr

Related Correlations Analysis

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First Trust Constituents Risk-Adjusted Indicators

There is a big difference between First Etf performing well and First Trust 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 First Trust'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.