Looking to diversify beyond VADDX? The mutual funds below have the lowest correlation with VADDX — 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 VADDX.
Best Diversifiers for VADDX
13 mutual funds have low correlation with VADDX (below 0.3), 0 of which are negatively correlated. The least correlated is Invesco Short Duration Inflation Protected Fund (ALMIX) (Inflation-Protected Bonds) with a 1Y correlation of 0.09, roughly unchanged from 0.16 over 5 years.
| Symbol | Name | Correlation 1Y | Correlation 3Y | Correlation 5Y | Risk / Return Rank | Category | Compare |
|---|---|---|---|---|---|---|---|
| Invesco Short Duration Inflation Protected Fund | 0.09 | 0.14 | 0.16 | 71 | Inflation-Protected Bonds | VADDX vs ALMIX | |
| Invesco Limited Term California Municipal Fund | 0.13 | 0.13 | 0.10 | 73 | Municipal Bonds | VADDX vs OLCAX | |
| Invesco Short Duration High Yield Municipal Fund | 0.18 | 0.16 | 0.11 | 90 | High Yield Muni | VADDX vs ISHYX | |
| Invesco Conservative Income Fund | 0.18 | 0.10 | 0.07 | 98 | Ultrashort Bond | VADDX vs ICIFX | |
| Invesco California Municipal Fund | 0.21 | 0.19 | 0.13 | 56 | Municipal Bonds | VADDX vs OPCAX |
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