Fidelity Advanced Correlations

The current 90-days correlation between Fidelity Advanced Equity and RBC Select Balanced is 0.83 (i.e., Very poor diversification). A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Fidelity Advanced moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Fidelity Advanced Equity moves in either direction, the perfectly negatively correlated security will move in the opposite direction.

The ability to find closely correlated positions to Fidelity Advanced could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Fidelity Advanced 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 Fidelity Advanced - 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 Fidelity Advanced Equity to buy it.