Correlation Between Eaton Vance and Acrex
Can any of the company-specific risk be diversified away by investing in both Eaton Vance and Acrex 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 Eaton Vance and Acrex into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Eaton Vance Global and Acrex, you can compare the effects of market volatilities on Eaton Vance and Acrex 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 Eaton Vance with a short position of Acrex. Check out your portfolio center. Please also check ongoing floating volatility patterns of Eaton Vance and Acrex.
Diversification Opportunities for Eaton Vance and Acrex
-0.77 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Eaton and Acrex is -0.77. Overlapping area represents the amount of risk that can be diversified away by holding Eaton Vance Global and Acrex in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Acrex and Eaton Vance 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 Eaton Vance Global are associated (or correlated) with Acrex. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Acrex has no effect on the direction of Eaton Vance i.e., Eaton Vance and Acrex go up and down completely randomly.
Pair Corralation between Eaton Vance and Acrex
Assuming the 90 days horizon Eaton Vance Global is expected to generate 0.1 times more return on investment than Acrex. However, Eaton Vance Global is 9.57 times less risky than Acrex. It trades about 0.36 of its potential returns per unit of risk. Acrex is currently generating about -0.29 per unit of risk. If you would invest 1,081 in Eaton Vance Global on September 28, 2024 and sell it today you would earn a total of 14.00 from holding Eaton Vance Global or generate 1.3% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 95.24% |
| Values | Daily Returns |
Eaton Vance Global vs. Acrex
Performance |
| Timeline |
| Eaton Vance Global |
| Acrex |
Eaton Vance and Acrex Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Eaton Vance and Acrex
The main advantage of trading using opposite Eaton Vance and Acrex positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Eaton Vance position performs unexpectedly, Acrex 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 Acrex will offset losses from the drop in Acrex's long position.| Eaton Vance vs. Eaton Vance Msschsts | Eaton Vance vs. Eaton Vance Municipal | Eaton Vance vs. Eaton Vance Municipal | Eaton Vance vs. Eaton Vance Municipal |
| Acrex vs. Lord Abbett Small | Acrex vs. Fidelity Small Cap | Acrex vs. Applied Finance Explorer | Acrex vs. Heartland Value Plus |
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 Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.
Other Complementary Tools
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine |