Correlation Between Ashmore Emerging and Eagle Mid
Can any of the company-specific risk be diversified away by investing in both Ashmore Emerging and Eagle Mid 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 Ashmore Emerging and Eagle Mid into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Ashmore Emerging Markets and Eagle Mid Cap, you can compare the effects of market volatilities on Ashmore Emerging and Eagle Mid 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 Ashmore Emerging with a short position of Eagle Mid. Check out your portfolio center. Please also check ongoing floating volatility patterns of Ashmore Emerging and Eagle Mid.
Diversification Opportunities for Ashmore Emerging and Eagle Mid
-0.26 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Ashmore and Eagle is -0.26. Overlapping area represents the amount of risk that can be diversified away by holding Ashmore Emerging Markets and Eagle Mid Cap in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Eagle Mid Cap and Ashmore Emerging 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 Ashmore Emerging Markets are associated (or correlated) with Eagle Mid. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Eagle Mid Cap has no effect on the direction of Ashmore Emerging i.e., Ashmore Emerging and Eagle Mid go up and down completely randomly.
Pair Corralation between Ashmore Emerging and Eagle Mid
If you would invest 827.00 in Ashmore Emerging Markets on November 2, 2024 and sell it today you would earn a total of 6.00 from holding Ashmore Emerging Markets or generate 0.73% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 0.97% |
| Values | Daily Returns |
Ashmore Emerging Markets vs. Eagle Mid Cap
Performance |
| Timeline |
| Ashmore Emerging Markets |
| Eagle Mid Cap |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Ashmore Emerging and Eagle Mid Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Ashmore Emerging and Eagle Mid
The main advantage of trading using opposite Ashmore Emerging and Eagle Mid positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Ashmore Emerging position performs unexpectedly, Eagle Mid 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 Eagle Mid will offset losses from the drop in Eagle Mid's long position.| Ashmore Emerging vs. Transam Short Term Bond | Ashmore Emerging vs. Delaware Investments Ultrashort | Ashmore Emerging vs. Blackrock Global Longshort | Ashmore Emerging vs. Vela Short Duration |
| Eagle Mid vs. Neiman Large Cap | Eagle Mid vs. Oppenheimer Global Allocation | Eagle Mid vs. Tax Managed Large Cap | Eagle Mid vs. Growth Allocation Fund |
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 Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal |