| HYDR Etf | | | USD 24.22 0.71 3.02% |
The current 90-days correlation between Global X Hydrogen and Global X Blockchain is 0.48 (i.e., Very weak diversification). The correlation of Global X 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. If the correlation is 0, the equities are not correlated; they are entirely random.
Global X Correlation With Market
Very weak diversification
The correlation between Global X Hydrogen and DJI is 0.42 (i.e., Very weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Global X Hydrogen and DJI in the same portfolio, assuming nothing else is changed.
Check out
Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Global X Hydrogen. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as
signals in unemployment.