Correlation Between Calamos High and Calamos Vertible
Can any of the company-specific risk be diversified away by investing in both Calamos High and Calamos Vertible 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 High and Calamos Vertible into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Calamos High Income and Calamos Vertible Fund, you can compare the effects of market volatilities on Calamos High and Calamos Vertible 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 High with a short position of Calamos Vertible. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calamos High and Calamos Vertible.
Diversification Opportunities for Calamos High and Calamos Vertible
0.87 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Calamos and Calamos is 0.87. Overlapping area represents the amount of risk that can be diversified away by holding Calamos High Income and Calamos Vertible Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Calamos Vertible and Calamos High 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 High Income are associated (or correlated) with Calamos Vertible. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Calamos Vertible has no effect on the direction of Calamos High i.e., Calamos High and Calamos Vertible go up and down completely randomly.
Pair Corralation between Calamos High and Calamos Vertible
Assuming the 90 days horizon Calamos High is expected to generate 1.91 times less return on investment than Calamos Vertible. But when comparing it to its historical volatility, Calamos High Income is 3.32 times less risky than Calamos Vertible. It trades about 0.23 of its potential returns per unit of risk. Calamos Vertible Fund is currently generating about 0.13 of returns per unit of risk over similar time horizon. If you would invest 1,963 in Calamos Vertible Fund on September 3, 2024 and sell it today you would earn a total of 241.00 from holding Calamos Vertible Fund or generate 12.28% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Calamos High Income vs. Calamos Vertible Fund
Performance |
| Timeline |
| Calamos High Income |
| Calamos Vertible |
Calamos High and Calamos Vertible Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Calamos High and Calamos Vertible
The main advantage of trading using opposite Calamos High and Calamos Vertible positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Calamos High position performs unexpectedly, Calamos Vertible 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 Vertible will offset losses from the drop in Calamos Vertible's long position.| Calamos High vs. Scharf Global Opportunity | Calamos High vs. Ab Global Real | Calamos High vs. Dreyfusstandish Global Fixed | Calamos High vs. Doubleline Global Bond |
| Calamos Vertible vs. Small Midcap Dividend Income | Calamos Vertible vs. Oklahoma College Savings | Calamos Vertible vs. The Hartford Small | Calamos Vertible vs. Chartwell Small Cap |
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Other Complementary Tools
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals |