Correlation Between DSJA and Calamos ETF
Can any of the company-specific risk be diversified away by investing in both DSJA and Calamos ETF 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 DSJA and Calamos ETF into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between DSJA and Calamos ETF Trust, you can compare the effects of market volatilities on DSJA and Calamos ETF 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 DSJA with a short position of Calamos ETF. Check out your portfolio center. Please also check ongoing floating volatility patterns of DSJA and Calamos ETF.
Diversification Opportunities for DSJA and Calamos ETF
-0.39 | Correlation Coefficient |
Very good diversification
The 3 months correlation between DSJA and Calamos is -0.39. Overlapping area represents the amount of risk that can be diversified away by holding DSJA and Calamos ETF Trust in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Calamos ETF Trust and DSJA 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 DSJA are associated (or correlated) with Calamos ETF. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Calamos ETF Trust has no effect on the direction of DSJA i.e., DSJA and Calamos ETF go up and down completely randomly.
Pair Corralation between DSJA and Calamos ETF
If you would invest 2,528 in Calamos ETF Trust on September 1, 2024 and sell it today you would earn a total of 17.00 from holding Calamos ETF Trust or generate 0.67% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 2.27% |
| Values | Daily Returns |
DSJA vs. Calamos ETF Trust
Performance |
| Timeline |
| DSJA |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Calamos ETF Trust |
DSJA and Calamos ETF Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with DSJA and Calamos ETF
The main advantage of trading using opposite DSJA and Calamos ETF positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if DSJA position performs unexpectedly, Calamos ETF 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 ETF will offset losses from the drop in Calamos ETF's long position.The idea behind DSJA and Calamos ETF Trust 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 ETF vs. FT Vest Equity | Calamos ETF vs. Northern Lights | Calamos ETF vs. Dimensional International High | Calamos ETF vs. Matthews China Discovery |
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 Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.
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