Correlation Between Armada Hflr and Calamos Global
Can any of the company-specific risk be diversified away by investing in both Armada Hflr and Calamos Global at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Armada Hflr and Calamos Global into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Armada Hflr Pr and Calamos Global Sustainable, you can compare the effects of market volatilities on Armada Hflr and Calamos Global and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Armada Hflr with a short position of Calamos Global. Check out your portfolio center. Please also check ongoing floating volatility patterns of Armada Hflr and Calamos Global.
Diversification Opportunities for Armada Hflr and Calamos Global
0.6 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Armada and Calamos is 0.6. Overlapping area represents the amount of risk that can be diversified away by holding Armada Hflr Pr and Calamos Global Sustainable in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Calamos Global Susta and Armada Hflr is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Armada Hflr Pr are associated (or correlated) with Calamos Global. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Calamos Global Susta has no effect on the direction of Armada Hflr i.e., Armada Hflr and Calamos Global go up and down completely randomly.
Pair Corralation between Armada Hflr and Calamos Global
If you would invest 818.00 in Calamos Global Sustainable on September 18, 2024 and sell it today you would earn a total of 0.00 from holding Calamos Global Sustainable or generate 0.0% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Significant |
Accuracy | 1.56% |
Values | Daily Returns |
Armada Hflr Pr vs. Calamos Global Sustainable
Performance |
Timeline |
Armada Hflr Pr |
Calamos Global Susta |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Armada Hflr and Calamos Global Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Armada Hflr and Calamos Global
The main advantage of trading using opposite Armada Hflr and Calamos Global positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Armada Hflr position performs unexpectedly, Calamos Global can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Calamos Global will offset losses from the drop in Calamos Global's long position.The idea behind Armada Hflr Pr and Calamos Global Sustainable pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.Calamos Global vs. Columbia Real Estate | Calamos Global vs. Sa Real Estate | Calamos Global vs. Jhancock Real Estate | Calamos Global vs. Fidelity Real Estate |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Money Managers module to screen money managers from public funds and ETFs managed around the world.
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