Correlation Between Blackstone Secured and Dunham Large
Can any of the company-specific risk be diversified away by investing in both Blackstone Secured and Dunham Large 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 Blackstone Secured and Dunham Large into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Blackstone Secured Lending and Dunham Large Cap, you can compare the effects of market volatilities on Blackstone Secured and Dunham Large 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 Blackstone Secured with a short position of Dunham Large. Check out your portfolio center. Please also check ongoing floating volatility patterns of Blackstone Secured and Dunham Large.
Diversification Opportunities for Blackstone Secured and Dunham Large
-0.46 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Blackstone and Dunham is -0.46. Overlapping area represents the amount of risk that can be diversified away by holding Blackstone Secured Lending and Dunham Large Cap in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dunham Large Cap and Blackstone Secured 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 Blackstone Secured Lending are associated (or correlated) with Dunham Large. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dunham Large Cap has no effect on the direction of Blackstone Secured i.e., Blackstone Secured and Dunham Large go up and down completely randomly.
Pair Corralation between Blackstone Secured and Dunham Large
Given the investment horizon of 90 days Blackstone Secured Lending is expected to generate 1.16 times more return on investment than Dunham Large. However, Blackstone Secured is 1.16 times more volatile than Dunham Large Cap. It trades about 0.07 of its potential returns per unit of risk. Dunham Large Cap is currently generating about 0.03 per unit of risk. If you would invest 2,860 in Blackstone Secured Lending on October 25, 2024 and sell it today you would earn a total of 388.00 from holding Blackstone Secured Lending or generate 13.57% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Blackstone Secured Lending vs. Dunham Large Cap
Performance |
| Timeline |
| Blackstone Secured |
| Dunham Large Cap |
Blackstone Secured and Dunham Large Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Blackstone Secured and Dunham Large
The main advantage of trading using opposite Blackstone Secured and Dunham Large positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Blackstone Secured position performs unexpectedly, Dunham Large 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 Dunham Large will offset losses from the drop in Dunham Large's long position.| Blackstone Secured vs. Carlyle Secured Lending | Blackstone Secured vs. Oaktree Specialty Lending | Blackstone Secured vs. Sixth Street Specialty | Blackstone Secured vs. FS KKR Capital |
| Dunham Large vs. Fulcrum Diversified Absolute | Dunham Large vs. Vy T Rowe | Dunham Large vs. Guggenheim Diversified Income | Dunham Large vs. T Rowe Price |
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 Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
Other Complementary Tools
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities |