Correlation Between Stocks, Bonds and Cash

Correlation is a concept that refers to how things relate to each other: things that are correlated move in the same direction, and vice versa. Listen to this show to find out how this applies to stocks, bonds and cash and the way their respective values correlate with each other (or don’t). You’ll learn about what happens to bonds when stocks are doing well, when the best time is to have more money in cash and how to set up your portfolio for proper diversification.