Correlation Between Calamos Dynamic and Jhancock Diversified
Can any of the company-specific risk be diversified away by investing in both Calamos Dynamic and Jhancock Diversified 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 Calamos Dynamic and Jhancock Diversified into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Calamos Dynamic Convertible and Jhancock Diversified Macro, you can compare the effects of market volatilities on Calamos Dynamic and Jhancock Diversified 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 Calamos Dynamic with a short position of Jhancock Diversified. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calamos Dynamic and Jhancock Diversified.
Diversification Opportunities for Calamos Dynamic and Jhancock Diversified
0.4 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Calamos and Jhancock is 0.4. Overlapping area represents the amount of risk that can be diversified away by holding Calamos Dynamic Convertible and Jhancock Diversified Macro in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jhancock Diversified and Calamos Dynamic 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 Calamos Dynamic Convertible are associated (or correlated) with Jhancock Diversified. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jhancock Diversified has no effect on the direction of Calamos Dynamic i.e., Calamos Dynamic and Jhancock Diversified go up and down completely randomly.
Pair Corralation between Calamos Dynamic and Jhancock Diversified
Considering the 90-day investment horizon Calamos Dynamic is expected to generate 3.13 times less return on investment than Jhancock Diversified. In addition to that, Calamos Dynamic is 1.59 times more volatile than Jhancock Diversified Macro. It trades about 0.03 of its total potential returns per unit of risk. Jhancock Diversified Macro is currently generating about 0.14 per unit of volatility. If you would invest 912.00 in Jhancock Diversified Macro on November 3, 2024 and sell it today you would earn a total of 13.00 from holding Jhancock Diversified Macro or generate 1.43% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 95.24% |
| Values | Daily Returns |
Calamos Dynamic Convertible vs. Jhancock Diversified Macro
Performance |
| Timeline |
| Calamos Dynamic Conv |
| Jhancock Diversified |
Calamos Dynamic and Jhancock Diversified Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Calamos Dynamic and Jhancock Diversified
The main advantage of trading using opposite Calamos Dynamic and Jhancock Diversified positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Calamos Dynamic position performs unexpectedly, Jhancock Diversified 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 Jhancock Diversified will offset losses from the drop in Jhancock Diversified's long position.| Calamos Dynamic vs. Calamos Convertible Opportunities | Calamos Dynamic vs. Calamos Global Dynamic | Calamos Dynamic vs. Calamos Strategic Total | Calamos Dynamic vs. Calamos LongShort Equity |
| Jhancock Diversified vs. Versatile Bond Portfolio | Jhancock Diversified vs. Growth Portfolio Class | Jhancock Diversified vs. Eip Growth And | Jhancock Diversified vs. Federated Emerging Market |
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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
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