Correlation Between Emerging Markets and Amg Managers
Can any of the company-specific risk be diversified away by investing in both Emerging Markets and Amg Managers 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 Emerging Markets and Amg Managers into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Emerging Markets Leaders and Amg Managers Centersquare, you can compare the effects of market volatilities on Emerging Markets and Amg Managers 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 Emerging Markets with a short position of Amg Managers. Check out your portfolio center. Please also check ongoing floating volatility patterns of Emerging Markets and Amg Managers.
Diversification Opportunities for Emerging Markets and Amg Managers
-0.23 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Emerging and Amg is -0.23. Overlapping area represents the amount of risk that can be diversified away by holding Emerging Markets Leaders and Amg Managers Centersquare in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Amg Managers Centersquare and Emerging Markets 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 Emerging Markets Leaders are associated (or correlated) with Amg Managers. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Amg Managers Centersquare has no effect on the direction of Emerging Markets i.e., Emerging Markets and Amg Managers go up and down completely randomly.
Pair Corralation between Emerging Markets and Amg Managers
If you would invest 1,207 in Amg Managers Centersquare on September 12, 2024 and sell it today you would earn a total of 8.00 from holding Amg Managers Centersquare or generate 0.66% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 4.76% |
| Values | Daily Returns |
Emerging Markets Leaders vs. Amg Managers Centersquare
Performance |
| Timeline |
| Emerging Markets Leaders |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Amg Managers Centersquare |
Emerging Markets and Amg Managers Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Emerging Markets and Amg Managers
The main advantage of trading using opposite Emerging Markets and Amg Managers positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Emerging Markets position performs unexpectedly, Amg Managers 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 Amg Managers will offset losses from the drop in Amg Managers' long position.| Emerging Markets vs. Old Westbury Short Term | Emerging Markets vs. Rbc Short Duration | Emerging Markets vs. Lord Abbett Short | Emerging Markets vs. Touchstone Ultra Short |
| Amg Managers vs. T Rowe Price | Amg Managers vs. T Rowe Price | Amg Managers vs. T Rowe Price | Amg Managers 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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
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