Looking to diversify beyond FAAA? The ETFs below have the lowest correlation with FAAA — they tend to move on their own, which can help reduce risk when the rest of your portfolio drops. The stock ideas table highlights individual companies that behave independently from FAAA.
Best Diversifiers for FAAA
1918 ETFs have low correlation with FAAA (below 0.3), 143 of which are negatively correlated. The least correlated is First Trust Global Tactical Commodity Strategy Fund (FTGC) (Commodities) with a 1Y correlation of -0.16, roughly unchanged from -0.16 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| First Trust Global Tactical Commodity Strategy Fun... | -0.16 | -0.16 | -0.16 | 55 | Commodities | FAAA vs FTGC | |
| First Trust Alternative Absolute Return Strategy E... | -0.15 | -0.15 | -0.15 | 75 | Commodities | FAAA vs FAAR | |
| SPDR Nuveen Municipal Bond ETF | -0.15 | -0.15 | -0.15 | 53 | Municipal Bonds | FAAA vs MBND | |
| State Street My2028 Municipal Bond ETF | -0.14 | -0.14 | -0.14 | 85 | Municipal Bonds | FAAA vs MYMH | |
| WisdomTree Managed Futures Strategy Fund | -0.13 | -0.13 | -0.13 | 82 | Hedge Fund | FAAA vs WTMF |
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