Correlation Between Kayne Anderson and Ab Value
Can any of the company-specific risk be diversified away by investing in both Kayne Anderson and Ab Value 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 Kayne Anderson and Ab Value into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Kayne Anderson Renewable and Ab Value Fund, you can compare the effects of market volatilities on Kayne Anderson and Ab Value 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 Kayne Anderson with a short position of Ab Value. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kayne Anderson and Ab Value.
Diversification Opportunities for Kayne Anderson and Ab Value
0.33 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Kayne and ABVCX is 0.33. Overlapping area represents the amount of risk that can be diversified away by holding Kayne Anderson Renewable and Ab Value Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ab Value Fund and Kayne Anderson 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 Kayne Anderson Renewable are associated (or correlated) with Ab Value. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ab Value Fund has no effect on the direction of Kayne Anderson i.e., Kayne Anderson and Ab Value go up and down completely randomly.
Pair Corralation between Kayne Anderson and Ab Value
Assuming the 90 days horizon Kayne Anderson is expected to generate 5.99 times less return on investment than Ab Value. In addition to that, Kayne Anderson is 1.39 times more volatile than Ab Value Fund. It trades about 0.01 of its total potential returns per unit of risk. Ab Value Fund is currently generating about 0.1 per unit of volatility. If you would invest 1,594 in Ab Value Fund on September 2, 2024 and sell it today you would earn a total of 482.00 from holding Ab Value Fund or generate 30.24% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Kayne Anderson Renewable vs. Ab Value Fund
Performance |
| Timeline |
| Kayne Anderson Renewable |
| Ab Value Fund |
Kayne Anderson and Ab Value Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Kayne Anderson and Ab Value
The main advantage of trading using opposite Kayne Anderson and Ab Value positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Kayne Anderson position performs unexpectedly, Ab Value 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 Ab Value will offset losses from the drop in Ab Value's long position.| Kayne Anderson vs. Prudential Real Estate | Kayne Anderson vs. Simt Real Estate | Kayne Anderson vs. Us Real Estate | Kayne Anderson vs. Deutsche Real Estate |
| Ab Value vs. Ab Global E | Ab Value vs. Ab Global E | Ab Value vs. Ab Global E | Ab Value vs. Ab Minnesota Portfolio |
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 Commodity Directory module to find actively traded commodities issued by global exchanges.
Other Complementary Tools
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Stocks Directory Find actively traded stocks across global markets | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance |