Correlation Between The Hartford and Upright Growth
Can any of the company-specific risk be diversified away by investing in both The Hartford and Upright 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 The Hartford and Upright Growth into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between The Hartford Midcap and Upright Growth Fund, you can compare the effects of market volatilities on The Hartford and Upright 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 The Hartford with a short position of Upright Growth. Check out your portfolio center. Please also check ongoing floating volatility patterns of The Hartford and Upright Growth.
Diversification Opportunities for The Hartford and Upright Growth
0.5 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between The and Upright is 0.5. Overlapping area represents the amount of risk that can be diversified away by holding The Hartford Midcap and Upright Growth Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Upright Growth and The Hartford 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 The Hartford Midcap are associated (or correlated) with Upright Growth. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Upright Growth has no effect on the direction of The Hartford i.e., The Hartford and Upright Growth go up and down completely randomly.
Pair Corralation between The Hartford and Upright Growth
Assuming the 90 days horizon The Hartford Midcap is expected to generate 1.02 times more return on investment than Upright Growth. However, The Hartford is 1.02 times more volatile than Upright Growth Fund. It trades about 0.37 of its potential returns per unit of risk. Upright Growth Fund is currently generating about -0.18 per unit of risk. If you would invest 2,837 in The Hartford Midcap on August 27, 2024 and sell it today you would earn a total of 249.00 from holding The Hartford Midcap or generate 8.78% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
The Hartford Midcap vs. Upright Growth Fund
Performance |
| Timeline |
| Hartford Midcap |
| Upright Growth |
The Hartford and Upright Growth Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with The Hartford and Upright Growth
The main advantage of trading using opposite The Hartford and Upright Growth positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if The Hartford position performs unexpectedly, Upright 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 Upright Growth will offset losses from the drop in Upright Growth's long position.| The Hartford vs. T Rowe Price | The Hartford vs. Amcap Fund Class | The Hartford vs. Ab Small Cap | The Hartford vs. Wells Fargo Special |
| Upright Growth vs. VEEA | Upright Growth vs. VivoPower International PLC | Upright Growth vs. WEBTOON Entertainment Common | Upright Growth vs. Upright Assets Allocation |
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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Other Complementary Tools
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk |