Correlation Between Voya Global and Asg Managed
Can any of the company-specific risk be diversified away by investing in both Voya Global and Asg Managed 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 Voya Global and Asg Managed into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Voya Global Perspectives and Asg Managed Futures, you can compare the effects of market volatilities on Voya Global and Asg Managed 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 Voya Global with a short position of Asg Managed. Check out your portfolio center. Please also check ongoing floating volatility patterns of Voya Global and Asg Managed.
Diversification Opportunities for Voya Global and Asg Managed
0.08 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Voya and Asg is 0.08. Overlapping area represents the amount of risk that can be diversified away by holding Voya Global Perspectives and Asg Managed Futures in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Asg Managed Futures and Voya Global 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 Voya Global Perspectives are associated (or correlated) with Asg Managed. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Asg Managed Futures has no effect on the direction of Voya Global i.e., Voya Global and Asg Managed go up and down completely randomly.
Pair Corralation between Voya Global and Asg Managed
Assuming the 90 days horizon Voya Global Perspectives is expected to generate 0.87 times more return on investment than Asg Managed. However, Voya Global Perspectives is 1.15 times less risky than Asg Managed. It trades about 0.27 of its potential returns per unit of risk. Asg Managed Futures is currently generating about 0.17 per unit of risk. If you would invest 886.00 in Voya Global Perspectives on September 3, 2024 and sell it today you would earn a total of 24.00 from holding Voya Global Perspectives or generate 2.71% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Voya Global Perspectives vs. Asg Managed Futures
Performance |
| Timeline |
| Voya Global Perspectives |
| Asg Managed Futures |
Voya Global and Asg Managed Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Voya Global and Asg Managed
The main advantage of trading using opposite Voya Global and Asg Managed positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Voya Global position performs unexpectedly, Asg Managed 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 Asg Managed will offset losses from the drop in Asg Managed's long position.| Voya Global vs. T Rowe Price | Voya Global vs. T Rowe Price | Voya Global vs. California High Yield Municipal | Voya Global vs. Ishares Municipal Bond |
| Asg Managed vs. Aqr Managed Futures | Asg Managed vs. Pimco Trends Managed | Asg Managed vs. Pimco Trends Managed | Asg Managed vs. American Beacon Ahl |
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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
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