Looking to diversify beyond KTCAX? The mutual funds below have the lowest correlation with KTCAX — 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 KTCAX.
Best Diversifiers for KTCAX
7 mutual funds have low correlation with KTCAX (below 0.3), 0 of which are negatively correlated. The least correlated is DWS California Tax (KCTAX) (Municipal Bonds) with a 1Y correlation of 0.17, roughly unchanged from 0.11 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| DWS California Tax | 0.17 | 0.11 | 0.11 | 64 | Municipal Bonds | KTCAX vs KCTAX | |
| DWS Short Term Municipal Bond Fund | 0.19 | 0.09 | 0.08 | 70 | Municipal Bonds | KTCAX vs MGSMX | |
| DWS Intermediate Tax-Free Fund | 0.19 | 0.12 | 0.10 | 65 | Municipal Bonds | KTCAX vs SCMTX | |
| DWS Massachusetts Tax Free Fund | 0.19 | 0.11 | 0.12 | 74 | Municipal Bonds | KTCAX vs SCMAX | |
| DWS Strategic High Yield Tax | 0.20 | 0.11 | 0.12 | 65 | High Yield Muni | KTCAX vs SHYTX |
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