Correlation Between Calamos Dynamic and J Hancock
Can any of the company-specific risk be diversified away by investing in both Calamos Dynamic and J Hancock 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 J Hancock 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 J Hancock Ii, you can compare the effects of market volatilities on Calamos Dynamic and J Hancock 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 J Hancock. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calamos Dynamic and J Hancock.
Diversification Opportunities for Calamos Dynamic and J Hancock
0.59 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Calamos and JRODX is 0.59. Overlapping area represents the amount of risk that can be diversified away by holding Calamos Dynamic Convertible and J Hancock Ii in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on J Hancock Ii 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 J Hancock. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of J Hancock Ii has no effect on the direction of Calamos Dynamic i.e., Calamos Dynamic and J Hancock go up and down completely randomly.
Pair Corralation between Calamos Dynamic and J Hancock
Considering the 90-day investment horizon Calamos Dynamic is expected to generate 12.08 times less return on investment than J Hancock. In addition to that, Calamos Dynamic is 1.86 times more volatile than J Hancock Ii. It trades about 0.01 of its total potential returns per unit of risk. J Hancock Ii is currently generating about 0.33 per unit of volatility. If you would invest 1,609 in J Hancock Ii on September 3, 2024 and sell it today you would earn a total of 66.00 from holding J Hancock Ii or generate 4.1% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Calamos Dynamic Convertible vs. J Hancock Ii
Performance |
| Timeline |
| Calamos Dynamic Conv |
| J Hancock Ii |
Calamos Dynamic and J Hancock Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Calamos Dynamic and J Hancock
The main advantage of trading using opposite Calamos Dynamic and J Hancock positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Calamos Dynamic position performs unexpectedly, J Hancock 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 J Hancock will offset losses from the drop in J Hancock'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 |
| J Hancock vs. Prudential Jennison International | J Hancock vs. Fidelity New Markets | J Hancock vs. Ohio Variable College |
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 Anywhere module to track or share privately all of your investments from the convenience of any device.
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