Correlation Between Artisan Emerging and Dunham Real
Can any of the company-specific risk be diversified away by investing in both Artisan Emerging and Dunham Real 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 Artisan Emerging and Dunham Real into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Artisan Emerging Markets and Dunham Real Estate, you can compare the effects of market volatilities on Artisan Emerging and Dunham Real 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 Artisan Emerging with a short position of Dunham Real. Check out your portfolio center. Please also check ongoing floating volatility patterns of Artisan Emerging and Dunham Real.
Diversification Opportunities for Artisan Emerging and Dunham Real
-0.07 | Correlation Coefficient |
Good diversification
The 3 months correlation between Artisan and Dunham is -0.07. Overlapping area represents the amount of risk that can be diversified away by holding Artisan Emerging Markets and Dunham Real Estate in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dunham Real Estate and Artisan Emerging 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 Artisan Emerging Markets are associated (or correlated) with Dunham Real. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dunham Real Estate has no effect on the direction of Artisan Emerging i.e., Artisan Emerging and Dunham Real go up and down completely randomly.
Pair Corralation between Artisan Emerging and Dunham Real
Assuming the 90 days horizon Artisan Emerging Markets is expected to generate 0.24 times more return on investment than Dunham Real. However, Artisan Emerging Markets is 4.12 times less risky than Dunham Real. It trades about -0.02 of its potential returns per unit of risk. Dunham Real Estate is currently generating about -0.12 per unit of risk. If you would invest 1,028 in Artisan Emerging Markets on September 20, 2024 and sell it today you would lose (3.00) from holding Artisan Emerging Markets or give up 0.29% of portfolio value over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Insignificant |
Accuracy | 100.0% |
Values | Daily Returns |
Artisan Emerging Markets vs. Dunham Real Estate
Performance |
Timeline |
Artisan Emerging Markets |
Dunham Real Estate |
Artisan Emerging and Dunham Real Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Artisan Emerging and Dunham Real
The main advantage of trading using opposite Artisan Emerging and Dunham Real positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Artisan Emerging position performs unexpectedly, Dunham Real 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 Dunham Real will offset losses from the drop in Dunham Real's long position.Artisan Emerging vs. Oil Gas Ultrasector | Artisan Emerging vs. Dreyfus Natural Resources | Artisan Emerging vs. Thrivent Natural Resources | Artisan Emerging vs. Energy Basic Materials |
Dunham Real vs. Morningstar Defensive Bond | Dunham Real vs. T Rowe Price | Dunham Real vs. Artisan High Income | Dunham Real vs. T Rowe Price |
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 CEOs Directory module to screen CEOs from public companies around the world.
Other Complementary Tools
Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets |