In Asia, China and Thailand have the lowest correlation to the US market
Q3 hedge fund letters, conference, scoops etc
- Ranked by past 5 years correlation
- Lowest correlation with US: China, Thailand, and the Philippines
- Highest correlation with US: Taiwan, Singapore, and Hong Kong
Two major crises in the new millennium
- Impact on the S&P 500 in the past two major crises
- Dot-com bubble: (48%)
- Global Financial Crisis: (54%)
China has been uncorrelated to the US in the past two major crises
- We’ve looked at the correlation with the US market during the two major crises
- China has been uncorrelated, a possible explanation is the Chinese regulation not allowing foreign access to its stock markets
Article by Become A Better Investor
