Correlation Between Angel Oak and Angel Oak
Can any of the company-specific risk be diversified away by investing in both Angel Oak and Angel Oak 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 Angel Oak and Angel Oak into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Angel Oak Multi Strategy and Angel Oak Ultrashort, you can compare the effects of market volatilities on Angel Oak and Angel Oak 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 Angel Oak with a short position of Angel Oak. Check out your portfolio center. Please also check ongoing floating volatility patterns of Angel Oak and Angel Oak.
Diversification Opportunities for Angel Oak and Angel Oak
Excellent diversification
The 3 months correlation between Angel and ANGEL is -0.66. Overlapping area represents the amount of risk that can be diversified away by holding Angel Oak Multi Strategy and Angel Oak Ultrashort in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Angel Oak Ultrashort and Angel Oak 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 Angel Oak Multi Strategy are associated (or correlated) with Angel Oak. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Angel Oak Ultrashort has no effect on the direction of Angel Oak i.e., Angel Oak and Angel Oak go up and down completely randomly.
Pair Corralation between Angel Oak and Angel Oak
Assuming the 90 days horizon Angel Oak Multi Strategy is expected to under-perform the Angel Oak. In addition to that, Angel Oak is 1.46 times more volatile than Angel Oak Ultrashort. It trades about -0.06 of its total potential returns per unit of risk. Angel Oak Ultrashort is currently generating about 0.16 per unit of volatility. If you would invest 976.00 in Angel Oak Ultrashort on August 31, 2024 and sell it today you would earn a total of 9.00 from holding Angel Oak Ultrashort or generate 0.92% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Angel Oak Multi Strategy vs. Angel Oak Ultrashort
Performance |
| Timeline |
| Angel Oak Multi |
| Angel Oak Ultrashort |
Angel Oak and Angel Oak Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Angel Oak and Angel Oak
The main advantage of trading using opposite Angel Oak and Angel Oak positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Angel Oak position performs unexpectedly, Angel Oak 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 Angel Oak will offset losses from the drop in Angel Oak's long position.| Angel Oak vs. Blackrock Health Sciences | Angel Oak vs. Highland Longshort Healthcare | Angel Oak vs. Baron Health Care | Angel Oak vs. Lord Abbett Health |
| Angel Oak vs. Tax Managed Mid Small | Angel Oak vs. T Rowe Price | Angel Oak vs. Fidelity Advisor Diversified | Angel Oak vs. Sentinel Small Pany |
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 Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. |