Correlation Between Calamos International and Calamos Total
Can any of the company-specific risk be diversified away by investing in both Calamos International and Calamos Total 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 International and Calamos Total into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Calamos International Growth and Calamos Total Return, you can compare the effects of market volatilities on Calamos International and Calamos Total 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 International with a short position of Calamos Total. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calamos International and Calamos Total.
Diversification Opportunities for Calamos International and Calamos Total
0.77 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Calamos and Calamos is 0.77. Overlapping area represents the amount of risk that can be diversified away by holding Calamos International Growth and Calamos Total Return in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Calamos Total Return and Calamos International 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 International Growth are associated (or correlated) with Calamos Total. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Calamos Total Return has no effect on the direction of Calamos International i.e., Calamos International and Calamos Total go up and down completely randomly.
Pair Corralation between Calamos International and Calamos Total
Assuming the 90 days horizon Calamos International Growth is expected to generate 2.5 times more return on investment than Calamos Total. However, Calamos International is 2.5 times more volatile than Calamos Total Return. It trades about 0.13 of its potential returns per unit of risk. Calamos Total Return is currently generating about 0.04 per unit of risk. If you would invest 2,187 in Calamos International Growth on September 18, 2024 and sell it today you would earn a total of 43.00 from holding Calamos International Growth or generate 1.97% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Calamos International Growth vs. Calamos Total Return
Performance |
| Timeline |
| Calamos International |
| Calamos Total Return |
Calamos International and Calamos Total Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Calamos International and Calamos Total
The main advantage of trading using opposite Calamos International and Calamos Total positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Calamos International position performs unexpectedly, Calamos Total 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 Calamos Total will offset losses from the drop in Calamos Total's long position.| Calamos International vs. Calamos Global Growth | Calamos International vs. Calamos Growth Income | Calamos International vs. Calamos Opportunistic Value | Calamos International vs. Calamos High Income |
| Calamos Total vs. Calamos Antetokounmpo Sustainable | Calamos Total vs. Innealta Capital Sector | Calamos Total vs. Calamos Antetokounmpo Sustainable | Calamos Total vs. Calamos Antetokounmpo Sustainable |
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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
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