Correlation Between Advent Claymore and Calamos Dividend
Can any of the company-specific risk be diversified away by investing in both Advent Claymore and Calamos Dividend 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 Advent Claymore and Calamos Dividend into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Advent Claymore Convertible and Calamos Dividend Growth, you can compare the effects of market volatilities on Advent Claymore and Calamos Dividend 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 Advent Claymore with a short position of Calamos Dividend. Check out your portfolio center. Please also check ongoing floating volatility patterns of Advent Claymore and Calamos Dividend.
Diversification Opportunities for Advent Claymore and Calamos Dividend
0.42 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Advent and Calamos is 0.42. Overlapping area represents the amount of risk that can be diversified away by holding Advent Claymore Convertible and Calamos Dividend Growth in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Calamos Dividend Growth and Advent Claymore 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 Advent Claymore Convertible are associated (or correlated) with Calamos Dividend. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Calamos Dividend Growth has no effect on the direction of Advent Claymore i.e., Advent Claymore and Calamos Dividend go up and down completely randomly.
Pair Corralation between Advent Claymore and Calamos Dividend
Considering the 90-day investment horizon Advent Claymore Convertible is expected to generate 0.81 times more return on investment than Calamos Dividend. However, Advent Claymore Convertible is 1.24 times less risky than Calamos Dividend. It trades about 0.74 of its potential returns per unit of risk. Calamos Dividend Growth is currently generating about 0.37 per unit of risk. If you would invest 1,113 in Advent Claymore Convertible on September 3, 2024 and sell it today you would earn a total of 105.00 from holding Advent Claymore Convertible or generate 9.43% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Advent Claymore Convertible vs. Calamos Dividend Growth
Performance |
| Timeline |
| Advent Claymore Conv |
| Calamos Dividend Growth |
Advent Claymore and Calamos Dividend Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Advent Claymore and Calamos Dividend
The main advantage of trading using opposite Advent Claymore and Calamos Dividend positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Advent Claymore position performs unexpectedly, Calamos Dividend 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 Calamos Dividend will offset losses from the drop in Calamos Dividend's long position.| Advent Claymore vs. Tekla Healthcare Investors | Advent Claymore vs. Tekla Life Sciences | Advent Claymore vs. Cohen Steers Reit | Advent Claymore vs. XAI Octagon Floating |
| Calamos Dividend vs. Putnam Convertible Incm Gwth | Calamos Dividend vs. Gabelli Convertible And | Calamos Dividend vs. Absolute Convertible Arbitrage | Calamos Dividend vs. Advent Claymore Convertible |
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Other Complementary Tools
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope |