Correlation Between Eaton Vance and Blackstone
Can any of the company-specific risk be diversified away by investing in both Eaton Vance and Blackstone 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 Blackstone into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Eaton Vance National and Blackstone Group, you can compare the effects of market volatilities on Eaton Vance and Blackstone 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 Blackstone. Check out your portfolio center. Please also check ongoing floating volatility patterns of Eaton Vance and Blackstone.
Diversification Opportunities for Eaton Vance and Blackstone
0.36 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Eaton and Blackstone is 0.36. Overlapping area represents the amount of risk that can be diversified away by holding Eaton Vance National and Blackstone Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Blackstone Group 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 National are associated (or correlated) with Blackstone. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Blackstone Group has no effect on the direction of Eaton Vance i.e., Eaton Vance and Blackstone go up and down completely randomly.
Pair Corralation between Eaton Vance and Blackstone
Considering the 90-day investment horizon Eaton Vance National is expected to under-perform the Blackstone. But the stock apears to be less risky and, when comparing its historical volatility, Eaton Vance National is 3.82 times less risky than Blackstone. The stock trades about -0.01 of its potential returns per unit of risk. The Blackstone Group is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 17,591 in Blackstone Group on November 4, 2024 and sell it today you would earn a total of 120.00 from holding Blackstone Group or generate 0.68% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Eaton Vance National vs. Blackstone Group
Performance |
| Timeline |
| Eaton Vance National |
| Blackstone Group |
Eaton Vance and Blackstone Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Eaton Vance and Blackstone
The main advantage of trading using opposite Eaton Vance and Blackstone positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Eaton Vance position performs unexpectedly, Blackstone 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 Blackstone will offset losses from the drop in Blackstone's long position.| Eaton Vance vs. Hudson Acquisition I | Eaton Vance vs. Marblegate Acquisition Corp | Eaton Vance vs. Alpha One | Eaton Vance vs. Manaris Corp |
| Blackstone vs. T Rowe Price | Blackstone vs. State Street Corp | Blackstone vs. KKR Co LP | Blackstone vs. Brookfield Asset Management |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Other Complementary Tools
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing |