Correlation Between Blackstone Secured and Lord Abbett
Can any of the company-specific risk be diversified away by investing in both Blackstone Secured and Lord Abbett 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 Lord Abbett 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 Lord Abbett Vertible, you can compare the effects of market volatilities on Blackstone Secured and Lord Abbett 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 Lord Abbett. Check out your portfolio center. Please also check ongoing floating volatility patterns of Blackstone Secured and Lord Abbett.
Diversification Opportunities for Blackstone Secured and Lord Abbett
0.5 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Blackstone and Lord is 0.5. Overlapping area represents the amount of risk that can be diversified away by holding Blackstone Secured Lending and Lord Abbett Vertible in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Lord Abbett Vertible 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 Lord Abbett. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Lord Abbett Vertible has no effect on the direction of Blackstone Secured i.e., Blackstone Secured and Lord Abbett go up and down completely randomly.
Pair Corralation between Blackstone Secured and Lord Abbett
Given the investment horizon of 90 days Blackstone Secured Lending is expected to generate 1.73 times more return on investment than Lord Abbett. However, Blackstone Secured is 1.73 times more volatile than Lord Abbett Vertible. It trades about 0.11 of its potential returns per unit of risk. Lord Abbett Vertible is currently generating about 0.07 per unit of risk. If you would invest 2,024 in Blackstone Secured Lending on November 2, 2024 and sell it today you would earn a total of 1,284 from holding Blackstone Secured Lending or generate 63.44% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Blackstone Secured Lending vs. Lord Abbett Vertible
Performance |
| Timeline |
| Blackstone Secured |
| Lord Abbett Vertible |
Blackstone Secured and Lord Abbett Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Blackstone Secured and Lord Abbett
The main advantage of trading using opposite Blackstone Secured and Lord Abbett positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Blackstone Secured position performs unexpectedly, Lord Abbett 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 Lord Abbett will offset losses from the drop in Lord Abbett'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 |
| Lord Abbett vs. Dws Equity Sector | Lord Abbett vs. Smallcap World Fund | Lord Abbett vs. Enhanced Fixed Income | Lord Abbett vs. The Growth Equity |
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 Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
Other Complementary Tools
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets |