Correlation Between BARINGS LATIN and CM AM
Specify exactly 2 symbols:
By analyzing existing cross correlation between BARINGS LATIN AMERICA and CM AM Monplus NE, you can compare the effects of market volatilities on BARINGS LATIN and CM AM 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 BARINGS LATIN with a short position of CM AM. Check out your portfolio center. Please also check ongoing floating volatility patterns of BARINGS LATIN and CM AM.
Diversification Opportunities for BARINGS LATIN and CM AM
-0.63 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between BARINGS and 0P0001F96C is -0.63. Overlapping area represents the amount of risk that can be diversified away by holding BARINGS LATIN AMERICA and CM AM Monplus NE in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CM AM Monplus and BARINGS LATIN 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 BARINGS LATIN AMERICA are associated (or correlated) with CM AM. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CM AM Monplus has no effect on the direction of BARINGS LATIN i.e., BARINGS LATIN and CM AM go up and down completely randomly.
Pair Corralation between BARINGS LATIN and CM AM
Assuming the 90 days trading horizon BARINGS LATIN is expected to generate 4.5 times less return on investment than CM AM. In addition to that, BARINGS LATIN is 168.61 times more volatile than CM AM Monplus NE. It trades about 0.0 of its total potential returns per unit of risk. CM AM Monplus NE is currently generating about 1.3 per unit of volatility. If you would invest 10,583 in CM AM Monplus NE on September 3, 2024 and sell it today you would earn a total of 23.00 from holding CM AM Monplus NE or generate 0.22% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 95.24% |
| Values | Daily Returns |
BARINGS LATIN AMERICA vs. CM AM Monplus NE
Performance |
| Timeline |
| BARINGS LATIN AMERICA |
| CM AM Monplus |
BARINGS LATIN and CM AM Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BARINGS LATIN and CM AM
The main advantage of trading using opposite BARINGS LATIN and CM AM positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BARINGS LATIN position performs unexpectedly, CM AM 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 CM AM will offset losses from the drop in CM AM's long position.| BARINGS LATIN vs. Groupama Entreprises N | BARINGS LATIN vs. Renaissance Europe C | BARINGS LATIN vs. Superior Plus Corp | BARINGS LATIN vs. Origin Agritech |
| CM AM vs. Groupama Entreprises N | CM AM vs. Renaissance Europe C | CM AM vs. Superior Plus Corp | CM AM vs. Origin Agritech |
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.
Other Complementary Tools
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments |