Correlation Between American Funds and Calamos Growth
Can any of the company-specific risk be diversified away by investing in both American Funds and Calamos Growth 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 American Funds and Calamos Growth into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between American Funds The and Calamos Growth Fund, you can compare the effects of market volatilities on American Funds and Calamos Growth 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 American Funds with a short position of Calamos Growth. Check out your portfolio center. Please also check ongoing floating volatility patterns of American Funds and Calamos Growth.
Diversification Opportunities for American Funds and Calamos Growth
0.83 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between American and Calamos is 0.83. Overlapping area represents the amount of risk that can be diversified away by holding American Funds The and Calamos Growth Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Calamos Growth and American Funds 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 American Funds The are associated (or correlated) with Calamos Growth. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Calamos Growth has no effect on the direction of American Funds i.e., American Funds and Calamos Growth go up and down completely randomly.
Pair Corralation between American Funds and Calamos Growth
Assuming the 90 days horizon American Funds The is expected to generate 0.85 times more return on investment than Calamos Growth. However, American Funds The is 1.17 times less risky than Calamos Growth. It trades about 0.08 of its potential returns per unit of risk. Calamos Growth Fund is currently generating about -0.02 per unit of risk. If you would invest 7,578 in American Funds The on October 22, 2024 and sell it today you would earn a total of 105.00 from holding American Funds The or generate 1.39% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
American Funds The vs. Calamos Growth Fund
Performance |
| Timeline |
| American Funds |
| Calamos Growth |
American Funds and Calamos Growth Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with American Funds and Calamos Growth
The main advantage of trading using opposite American Funds and Calamos Growth positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if American Funds position performs unexpectedly, Calamos Growth 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 Growth will offset losses from the drop in Calamos Growth's long position.| American Funds vs. Artisan High Income | American Funds vs. Virtus High Yield | American Funds vs. Multi Manager High Yield | American Funds vs. Simt High Yield |
| Calamos Growth vs. Ab Small Cap | Calamos Growth vs. American Century Etf | Calamos Growth vs. Lord Abbett Small | Calamos Growth vs. Valic Company I |
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 Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
Other Complementary Tools
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges |