Correlation Between Calamos Timpani and Calamos International
Can any of the company-specific risk be diversified away by investing in both Calamos Timpani and Calamos International 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 Timpani and Calamos International into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Calamos Timpani Small and Calamos International Small, you can compare the effects of market volatilities on Calamos Timpani and Calamos International 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 Timpani with a short position of Calamos International. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calamos Timpani and Calamos International.
Diversification Opportunities for Calamos Timpani and Calamos International
0.59 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Calamos and Calamos is 0.59. Overlapping area represents the amount of risk that can be diversified away by holding Calamos Timpani Small and Calamos International Small in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Calamos International and Calamos Timpani 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 Timpani Small are associated (or correlated) with Calamos International. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Calamos International has no effect on the direction of Calamos Timpani i.e., Calamos Timpani and Calamos International go up and down completely randomly.
Pair Corralation between Calamos Timpani and Calamos International
Assuming the 90 days horizon Calamos Timpani Small is expected to under-perform the Calamos International. In addition to that, Calamos Timpani is 1.96 times more volatile than Calamos International Small. It trades about -0.13 of its total potential returns per unit of risk. Calamos International Small is currently generating about -0.05 per unit of volatility. If you would invest 990.00 in Calamos International Small on November 27, 2024 and sell it today you would lose (9.00) from holding Calamos International Small or give up 0.91% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Calamos Timpani Small vs. Calamos International Small
Performance |
| Timeline |
| Calamos Timpani Small |
| Calamos International |
Calamos Timpani and Calamos International Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Calamos Timpani and Calamos International
The main advantage of trading using opposite Calamos Timpani and Calamos International positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Calamos Timpani position performs unexpectedly, Calamos International 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 International will offset losses from the drop in Calamos International's long position.The idea behind Calamos Timpani Small and Calamos International Small pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
| Calamos International vs. Rbc Funds Trust | Calamos International vs. Dreyfusstandish Global Fixed | Calamos International vs. Nationwide E Plus | Calamos International vs. Dodge International Stock |
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 Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
Other Complementary Tools
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets |