Correlation Between John Hancock and Global Bond
Can any of the company-specific risk be diversified away by investing in both John Hancock and Global Bond 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 John Hancock and Global Bond into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between John Hancock Money and Global Bond Fund, you can compare the effects of market volatilities on John Hancock and Global Bond 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 John Hancock with a short position of Global Bond. Check out your portfolio center. Please also check ongoing floating volatility patterns of John Hancock and Global Bond.
Diversification Opportunities for John Hancock and Global Bond
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between John and Global is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding John Hancock Money and Global Bond Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Global Bond Fund and John Hancock 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 John Hancock Money are associated (or correlated) with Global Bond. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Global Bond Fund has no effect on the direction of John Hancock i.e., John Hancock and Global Bond go up and down completely randomly.
Pair Corralation between John Hancock and Global Bond
If you would invest 821.00 in Global Bond Fund on September 12, 2024 and sell it today you would earn a total of 54.00 from holding Global Bond Fund or generate 6.58% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
John Hancock Money vs. Global Bond Fund
Performance |
| Timeline |
| John Hancock Money |
| Global Bond Fund |
John Hancock and Global Bond Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with John Hancock and Global Bond
The main advantage of trading using opposite John Hancock and Global Bond positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if John Hancock position performs unexpectedly, Global Bond 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 Global Bond will offset losses from the drop in Global Bond's long position.| John Hancock vs. Transamerica Financial Life | John Hancock vs. Vanguard Financials Index | John Hancock vs. Blackrock Financial Institutions | John Hancock vs. Goldman Sachs Financial |
| Global Bond vs. John Hancock Money | Global Bond vs. Chestnut Street Exchange | Global Bond vs. Edward Jones Money | Global Bond vs. Dws Government Money |
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 Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
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