Correlation Between Janus Enterprise and John Hancock
Can any of the company-specific risk be diversified away by investing in both Janus Enterprise and John Hancock 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 Janus Enterprise and John Hancock into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Janus Enterprise Fund and John Hancock Disciplined, you can compare the effects of market volatilities on Janus Enterprise and John Hancock 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 Janus Enterprise with a short position of John Hancock. Check out your portfolio center. Please also check ongoing floating volatility patterns of Janus Enterprise and John Hancock.
Diversification Opportunities for Janus Enterprise and John Hancock
0.98 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Janus and John is 0.98. Overlapping area represents the amount of risk that can be diversified away by holding Janus Enterprise Fund and John Hancock Disciplined in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on John Hancock Disciplined and Janus Enterprise 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 Janus Enterprise Fund are associated (or correlated) with John Hancock. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of John Hancock Disciplined has no effect on the direction of Janus Enterprise i.e., Janus Enterprise and John Hancock go up and down completely randomly.
Pair Corralation between Janus Enterprise and John Hancock
Assuming the 90 days horizon Janus Enterprise is expected to generate 1.49 times less return on investment than John Hancock. In addition to that, Janus Enterprise is 1.12 times more volatile than John Hancock Disciplined. It trades about 0.03 of its total potential returns per unit of risk. John Hancock Disciplined is currently generating about 0.05 per unit of volatility. If you would invest 2,471 in John Hancock Disciplined on September 3, 2024 and sell it today you would earn a total of 592.00 from holding John Hancock Disciplined or generate 23.96% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Janus Enterprise Fund vs. John Hancock Disciplined
Performance |
| Timeline |
| Janus Enterprise |
| John Hancock Disciplined |
Janus Enterprise and John Hancock Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Janus Enterprise and John Hancock
The main advantage of trading using opposite Janus Enterprise and John Hancock positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Janus Enterprise position performs unexpectedly, John Hancock 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 John Hancock will offset losses from the drop in John Hancock's long position.| Janus Enterprise vs. Janus Forty Fund | Janus Enterprise vs. Janus Enterprise Fund | Janus Enterprise vs. Janus Triton Fund | Janus Enterprise vs. Janus Balanced Fund |
| John Hancock vs. John Hancock Disciplined | John Hancock vs. John Hancock Bond | John Hancock vs. Us Global Leaders | John Hancock vs. Mfs International Value |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
Other Complementary Tools
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes |