Correlation Between Calamos Convertible and Bny Mellon
Can any of the company-specific risk be diversified away by investing in both Calamos Convertible and Bny Mellon 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 Convertible and Bny Mellon into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Calamos Convertible Opportunities and Bny Mellon Strategic, you can compare the effects of market volatilities on Calamos Convertible and Bny Mellon 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 Convertible with a short position of Bny Mellon. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calamos Convertible and Bny Mellon.
Diversification Opportunities for Calamos Convertible and Bny Mellon
-0.33 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Calamos and Bny is -0.33. Overlapping area represents the amount of risk that can be diversified away by holding Calamos Convertible Opportunit and Bny Mellon Strategic in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Bny Mellon Strategic and Calamos Convertible 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 Convertible Opportunities are associated (or correlated) with Bny Mellon. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bny Mellon Strategic has no effect on the direction of Calamos Convertible i.e., Calamos Convertible and Bny Mellon go up and down completely randomly.
Pair Corralation between Calamos Convertible and Bny Mellon
Considering the 90-day investment horizon Calamos Convertible Opportunities is expected to generate 1.5 times more return on investment than Bny Mellon. However, Calamos Convertible is 1.5 times more volatile than Bny Mellon Strategic. It trades about 0.06 of its potential returns per unit of risk. Bny Mellon Strategic is currently generating about 0.04 per unit of risk. If you would invest 903.00 in Calamos Convertible Opportunities on September 3, 2024 and sell it today you would earn a total of 307.00 from holding Calamos Convertible Opportunities or generate 34.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Calamos Convertible Opportunit vs. Bny Mellon Strategic
Performance |
| Timeline |
| Calamos Convertible |
| Bny Mellon Strategic |
Calamos Convertible and Bny Mellon Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Calamos Convertible and Bny Mellon
The main advantage of trading using opposite Calamos Convertible and Bny Mellon positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Calamos Convertible position performs unexpectedly, Bny Mellon 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 Bny Mellon will offset losses from the drop in Bny Mellon's long position.| Calamos Convertible vs. Calamos Dynamic Convertible | Calamos Convertible vs. Calamos Global Dynamic | Calamos Convertible vs. Calamos Strategic Total | Calamos Convertible vs. Calamos LongShort Equity |
| Bny Mellon vs. DWS Municipal Income | Bny Mellon vs. Munivest Fund | Bny Mellon vs. Invesco Quality Municipal | Bny Mellon vs. Blackrock Muniyield |
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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
Other Complementary Tools
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device |