Correlation Between Eaton Vance and Thrivent High
Can any of the company-specific risk be diversified away by investing in both Eaton Vance and Thrivent High 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 Thrivent High into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Eaton Vance Municipal and Thrivent High Yield, you can compare the effects of market volatilities on Eaton Vance and Thrivent High 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 Thrivent High. Check out your portfolio center. Please also check ongoing floating volatility patterns of Eaton Vance and Thrivent High.
Diversification Opportunities for Eaton Vance and Thrivent High
-0.03 | Correlation Coefficient |
Good diversification
The 3 months correlation between Eaton and Thrivent is -0.03. Overlapping area represents the amount of risk that can be diversified away by holding Eaton Vance Municipal and Thrivent High Yield in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Thrivent High Yield 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 Municipal are associated (or correlated) with Thrivent High. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Thrivent High Yield has no effect on the direction of Eaton Vance i.e., Eaton Vance and Thrivent High go up and down completely randomly.
Pair Corralation between Eaton Vance and Thrivent High
Considering the 90-day investment horizon Eaton Vance Municipal is expected to generate 4.78 times more return on investment than Thrivent High. However, Eaton Vance is 4.78 times more volatile than Thrivent High Yield. It trades about 0.16 of its potential returns per unit of risk. Thrivent High Yield is currently generating about 0.27 per unit of risk. If you would invest 1,042 in Eaton Vance Municipal on August 31, 2024 and sell it today you would earn a total of 27.00 from holding Eaton Vance Municipal or generate 2.59% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Eaton Vance Municipal vs. Thrivent High Yield
Performance |
| Timeline |
| Eaton Vance Municipal |
| Thrivent High Yield |
Eaton Vance and Thrivent High Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Eaton Vance and Thrivent High
The main advantage of trading using opposite Eaton Vance and Thrivent High positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Eaton Vance position performs unexpectedly, Thrivent High 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 Thrivent High will offset losses from the drop in Thrivent High's long position.| Eaton Vance vs. Munivest Fund | Eaton Vance vs. Blackrock Muniyield Quality | Eaton Vance vs. Blackrock Muniyield Quality | Eaton Vance vs. Blackrock Muniholdings Closed |
| Thrivent High vs. Thrivent Income Fund | Thrivent High vs. HUMANA INC | Thrivent High vs. SCOR PK | Thrivent High vs. Aquagold International |
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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Other Complementary Tools
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios |