Correlation Between Calamos Global and Franklin Adjustable
Can any of the company-specific risk be diversified away by investing in both Calamos Global and Franklin Adjustable 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 Global and Franklin Adjustable into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Calamos Global Growth and Franklin Adjustable Government, you can compare the effects of market volatilities on Calamos Global and Franklin Adjustable 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 Global with a short position of Franklin Adjustable. Check out your portfolio center. Please also check ongoing floating volatility patterns of Calamos Global and Franklin Adjustable.
Diversification Opportunities for Calamos Global and Franklin Adjustable
0.18 | Correlation Coefficient |
Average diversification
The 3 months correlation between Calamos and Franklin is 0.18. Overlapping area represents the amount of risk that can be diversified away by holding Calamos Global Growth and Franklin Adjustable Government in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Franklin Adjustable and Calamos Global 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 Global Growth are associated (or correlated) with Franklin Adjustable. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Franklin Adjustable has no effect on the direction of Calamos Global i.e., Calamos Global and Franklin Adjustable go up and down completely randomly.
Pair Corralation between Calamos Global and Franklin Adjustable
Assuming the 90 days horizon Calamos Global Growth is expected to under-perform the Franklin Adjustable. In addition to that, Calamos Global is 24.06 times more volatile than Franklin Adjustable Government. It trades about -0.31 of its total potential returns per unit of risk. Franklin Adjustable Government is currently generating about -0.1 per unit of volatility. If you would invest 754.00 in Franklin Adjustable Government on October 10, 2024 and sell it today you would lose (1.00) from holding Franklin Adjustable Government or give up 0.13% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Calamos Global Growth vs. Franklin Adjustable Government
Performance |
| Timeline |
| Calamos Global Growth |
| Franklin Adjustable |
Calamos Global and Franklin Adjustable Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Calamos Global and Franklin Adjustable
The main advantage of trading using opposite Calamos Global and Franklin Adjustable positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Calamos Global position performs unexpectedly, Franklin Adjustable 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 Franklin Adjustable will offset losses from the drop in Franklin Adjustable's long position.| Calamos Global vs. Calamos Growth Income | Calamos Global vs. Calamos Opportunistic Value | Calamos Global vs. Calamos International Growth | Calamos Global vs. Calamos Market Neutral |
| Franklin Adjustable vs. Needham Aggressive Growth | Franklin Adjustable vs. Small Pany Growth | Franklin Adjustable vs. Rational Defensive Growth | Franklin Adjustable vs. T Rowe Price |
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..
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