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Looking to diversify beyond FAPCX? The mutual funds below have historically moved differently from FAPCX, which may reduce portfolio volatility when combined in a suitable allocation. The stock ideas table highlights individual companies with the same low-correlation characteristics. Correlation can change and does not guarantee that one asset will rise when another falls.

Best Diversifiers for FAPCX

1 mutual funds have low correlation with FAPCX (below 0.3), 0 of which are negatively correlated. The least correlated is Federated Hermes International Strategic Value Dividend Fund (IVFIX) (Foreign Large Cap Equities) with a 1Y correlation of 0.26, down from 0.54 over 5 years.

How candidates are selected

Low-Correlation Stock Ideas

The table shows companies with at least $1B in market capitalization, historical correlation data for FAPCX, and a Risk / Return Rank of 50 or higher. Treat them as research candidates rather than evidence that they will offset a future decline. The least correlated is Fortinet, Inc. (FTNT) (Technology) with a 1Y correlation of 0.29, down from 0.50 over 5 years.

How candidates are selected

SymbolNameCorrelation 1YCorrelation 3YCorrelation 5YRisk / Return RankSector
Fortinet, Inc.0.290.370.50
81
Technology
Celestica Inc.0.460.500.53
73
Technology
Alphabet Inc. Class A0.490.440.54
95
Communication Services
NVIDIA Corporation0.490.500.60
56
Technology
Amazon.com, Inc0.500.490.56
60
Consumer Cyclical

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