Correlation Between Apollo Tactical and IHIT
Can any of the company-specific risk be diversified away by investing in both Apollo Tactical and IHIT 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 Apollo Tactical and IHIT into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Apollo Tactical Income and IHIT, you can compare the effects of market volatilities on Apollo Tactical and IHIT 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 Apollo Tactical with a short position of IHIT. Check out your portfolio center. Please also check ongoing floating volatility patterns of Apollo Tactical and IHIT.
Diversification Opportunities for Apollo Tactical and IHIT
-0.47 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Apollo and IHIT is -0.47. Overlapping area represents the amount of risk that can be diversified away by holding Apollo Tactical Income and IHIT in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on IHIT and Apollo Tactical 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 Apollo Tactical Income are associated (or correlated) with IHIT. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of IHIT has no effect on the direction of Apollo Tactical i.e., Apollo Tactical and IHIT go up and down completely randomly.
Pair Corralation between Apollo Tactical and IHIT
If you would invest 745.00 in IHIT on August 29, 2024 and sell it today you would earn a total of 0.00 from holding IHIT or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Apollo Tactical Income vs. IHIT
Performance |
| Timeline |
| Apollo Tactical Income |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| IHIT |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Apollo Tactical and IHIT Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Apollo Tactical and IHIT
The main advantage of trading using opposite Apollo Tactical and IHIT positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Apollo Tactical position performs unexpectedly, IHIT 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 IHIT will offset losses from the drop in IHIT's long position.| Apollo Tactical vs. Abrdn Emerging Markets | Apollo Tactical vs. Aberdeen Global Dynamic | Apollo Tactical vs. Bny Mellon Municipalome | Apollo Tactical vs. Nuveen Arizona Quality |
| IHIT vs. MFS Investment Grade | IHIT vs. Invesco High Income | IHIT vs. Eaton Vance National | IHIT vs. Nuveen California Select |
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 Global Correlations module to find global opportunities by holding instruments from different markets.
Other Complementary Tools
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency |