Correlation Between Angel Oak and Segall Bryant
Can any of the company-specific risk be diversified away by investing in both Angel Oak and Segall Bryant 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 Segall Bryant 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 Segall Bryant Hamill, you can compare the effects of market volatilities on Angel Oak and Segall Bryant 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 Segall Bryant. Check out your portfolio center. Please also check ongoing floating volatility patterns of Angel Oak and Segall Bryant.
Diversification Opportunities for Angel Oak and Segall Bryant
0.15 | Correlation Coefficient |
Average diversification
The 3 months correlation between Angel and Segall is 0.15. Overlapping area represents the amount of risk that can be diversified away by holding Angel Oak Multi Strategy and Segall Bryant Hamill in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Segall Bryant Hamill 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 Segall Bryant. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Segall Bryant Hamill has no effect on the direction of Angel Oak i.e., Angel Oak and Segall Bryant go up and down completely randomly.
Pair Corralation between Angel Oak and Segall Bryant
Assuming the 90 days horizon Angel Oak Multi Strategy is expected to generate 0.19 times more return on investment than Segall Bryant. However, Angel Oak Multi Strategy is 5.33 times less risky than Segall Bryant. It trades about 0.07 of its potential returns per unit of risk. Segall Bryant Hamill is currently generating about -0.18 per unit of risk. If you would invest 854.00 in Angel Oak Multi Strategy on August 30, 2024 and sell it today you would earn a total of 2.00 from holding Angel Oak Multi Strategy or generate 0.23% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Angel Oak Multi Strategy vs. Segall Bryant Hamill
Performance |
| Timeline |
| Angel Oak Multi |
| Segall Bryant Hamill |
Angel Oak and Segall Bryant Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Angel Oak and Segall Bryant
The main advantage of trading using opposite Angel Oak and Segall Bryant positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Angel Oak position performs unexpectedly, Segall Bryant 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 Segall Bryant will offset losses from the drop in Segall Bryant's long position.| Angel Oak vs. Pimco Income Fund | Angel Oak vs. HUMANA INC | Angel Oak vs. Aquagold International | Angel Oak vs. Barloworld Ltd ADR |
| Segall Bryant vs. Vanguard Emerging Markets | Segall Bryant vs. Vanguard Emerging Markets | Segall Bryant vs. HUMANA INC | Segall Bryant vs. Aquagold International |
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 Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
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