Correlation Between Fs Multi-strategy and Baron New
Can any of the company-specific risk be diversified away by investing in both Fs Multi-strategy and Baron New 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 Fs Multi-strategy and Baron New into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Fs Multi Strategy Alt and Baron New Asia, you can compare the effects of market volatilities on Fs Multi-strategy and Baron New 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 Fs Multi-strategy with a short position of Baron New. Check out your portfolio center. Please also check ongoing floating volatility patterns of Fs Multi-strategy and Baron New.
Diversification Opportunities for Fs Multi-strategy and Baron New
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between FSMMX and Baron is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Fs Multi Strategy Alt and Baron New Asia in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Baron New Asia and Fs Multi-strategy 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 Fs Multi Strategy Alt are associated (or correlated) with Baron New. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Baron New Asia has no effect on the direction of Fs Multi-strategy i.e., Fs Multi-strategy and Baron New go up and down completely randomly.
Pair Corralation between Fs Multi-strategy and Baron New
If you would invest 1,029 in Fs Multi Strategy Alt on November 30, 2024 and sell it today you would earn a total of 90.00 from holding Fs Multi Strategy Alt or generate 8.75% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
Fs Multi Strategy Alt vs. Baron New Asia
Performance |
| Timeline |
| Fs Multi Strategy |
| Baron New Asia |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
Fs Multi-strategy and Baron New Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Fs Multi-strategy and Baron New
The main advantage of trading using opposite Fs Multi-strategy and Baron New positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Fs Multi-strategy position performs unexpectedly, Baron New 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 Baron New will offset losses from the drop in Baron New's long position.| Fs Multi-strategy vs. Oppenheimer Gold Special | Fs Multi-strategy vs. Gamco Global Gold | Fs Multi-strategy vs. Deutsche Gold Precious | Fs Multi-strategy vs. Wells Fargo Advantage |
| Baron New vs. Mondrian Emerging Markets | Baron New vs. Dodge Cox Emerging | Baron New vs. Rbc Emerging Markets | Baron New vs. Siit Emerging Markets |
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 Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
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