Correlation Between Manning Napier and Asg Managed
Can any of the company-specific risk be diversified away by investing in both Manning Napier and Asg Managed 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 Manning Napier and Asg Managed into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Manning Napier Unconstrained and Asg Managed Futures, you can compare the effects of market volatilities on Manning Napier and Asg Managed 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 Manning Napier with a short position of Asg Managed. Check out your portfolio center. Please also check ongoing floating volatility patterns of Manning Napier and Asg Managed.
Diversification Opportunities for Manning Napier and Asg Managed
0.71 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Manning and Asg is 0.71. Overlapping area represents the amount of risk that can be diversified away by holding Manning Napier Unconstrained and Asg Managed Futures in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Asg Managed Futures and Manning Napier 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 Manning Napier Unconstrained are associated (or correlated) with Asg Managed. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Asg Managed Futures has no effect on the direction of Manning Napier i.e., Manning Napier and Asg Managed go up and down completely randomly.
Pair Corralation between Manning Napier and Asg Managed
Assuming the 90 days horizon Manning Napier Unconstrained is expected to generate 0.18 times more return on investment than Asg Managed. However, Manning Napier Unconstrained is 5.6 times less risky than Asg Managed. It trades about 0.11 of its potential returns per unit of risk. Asg Managed Futures is currently generating about -0.05 per unit of risk. If you would invest 884.00 in Manning Napier Unconstrained on September 7, 2024 and sell it today you would earn a total of 105.00 from holding Manning Napier Unconstrained or generate 11.88% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Together |
Strength | Significant |
Accuracy | 100.0% |
Values | Daily Returns |
Manning Napier Unconstrained vs. Asg Managed Futures
Performance |
Timeline |
Manning Napier Uncon |
Asg Managed Futures |
Manning Napier and Asg Managed Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Manning Napier and Asg Managed
The main advantage of trading using opposite Manning Napier and Asg Managed positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Manning Napier position performs unexpectedly, Asg Managed 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 Asg Managed will offset losses from the drop in Asg Managed's long position.Manning Napier vs. Legg Mason Partners | Manning Napier vs. Alliancebernstein Global High | Manning Napier vs. Artisan High Income | Manning Napier vs. Ab High Income |
Asg Managed vs. Aqr Managed Futures | Asg Managed vs. Pimco Trends Managed | Asg Managed vs. Eaton Vance Global | Asg Managed vs. Aqr Managed Futures |
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 Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
Other Complementary Tools
Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |