Correlation Between Lkcm Aquinas and Lkcm Small
Can any of the company-specific risk be diversified away by investing in both Lkcm Aquinas and Lkcm Small 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 Lkcm Aquinas and Lkcm Small into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Lkcm Aquinas Growth and Lkcm Small Cap, you can compare the effects of market volatilities on Lkcm Aquinas and Lkcm Small 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 Lkcm Aquinas with a short position of Lkcm Small. Check out your portfolio center. Please also check ongoing floating volatility patterns of Lkcm Aquinas and Lkcm Small.
Diversification Opportunities for Lkcm Aquinas and Lkcm Small
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Lkcm and Lkcm is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Lkcm Aquinas Growth and Lkcm Small Cap in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Lkcm Small Cap and Lkcm Aquinas 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 Lkcm Aquinas Growth are associated (or correlated) with Lkcm Small. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Lkcm Small Cap has no effect on the direction of Lkcm Aquinas i.e., Lkcm Aquinas and Lkcm Small go up and down completely randomly.
Pair Corralation between Lkcm Aquinas and Lkcm Small
If you would invest 0.00 in Lkcm Aquinas Growth on January 9, 2025 and sell it today you would earn a total of 0.00 from holding Lkcm Aquinas Growth or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 1.64% |
| Values | Daily Returns |
Lkcm Aquinas Growth vs. Lkcm Small Cap
Performance |
| Timeline |
| Lkcm Aquinas Growth |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
| Lkcm Small Cap |
Lkcm Aquinas and Lkcm Small Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Lkcm Aquinas and Lkcm Small
The main advantage of trading using opposite Lkcm Aquinas and Lkcm Small positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Lkcm Aquinas position performs unexpectedly, Lkcm Small 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 Lkcm Small will offset losses from the drop in Lkcm Small's long position.| Lkcm Aquinas vs. Tax Managed International Equity | Lkcm Aquinas vs. Barings Emerging Markets | Lkcm Aquinas vs. Vanguard Inflation Protected Securities | Lkcm Aquinas vs. Ftufox |
| Lkcm Small vs. Lkcm Fixed Income | Lkcm Small vs. Lkcm International Equity | Lkcm Small vs. Lkcm Small Mid Cap |
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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
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