Correlation Between Voya Russia and Sit Small
Can any of the company-specific risk be diversified away by investing in both Voya Russia and Sit Small 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 Russia and Sit Small into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Voya Russia Fund and Sit Small Cap, you can compare the effects of market volatilities on Voya Russia and Sit Small 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 Russia with a short position of Sit Small. Check out your portfolio center. Please also check ongoing floating volatility patterns of Voya Russia and Sit Small.
Diversification Opportunities for Voya Russia and Sit Small
0.62 | Correlation Coefficient |
Poor diversification
The 3 months correlation between VOYA and Sit is 0.62. Overlapping area represents the amount of risk that can be diversified away by holding Voya Russia Fund and Sit Small Cap in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sit Small Cap and Voya Russia 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 Russia Fund are associated (or correlated) with Sit Small. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sit Small Cap has no effect on the direction of Voya Russia i.e., Voya Russia and Sit Small go up and down completely randomly.
Pair Corralation between Voya Russia and Sit Small
If you would invest 7,119 in Sit Small Cap on August 30, 2024 and sell it today you would earn a total of 230.00 from holding Sit Small Cap or generate 3.23% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 4.55% |
| Values | Daily Returns |
Voya Russia Fund vs. Sit Small Cap
Performance |
| Timeline |
| Voya Russia Fund |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Sit Small Cap |
Voya Russia and Sit Small Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Voya Russia and Sit Small
The main advantage of trading using opposite Voya Russia and Sit Small positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Voya Russia position performs unexpectedly, Sit Small 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 Sit Small will offset losses from the drop in Sit Small's long position.| Voya Russia vs. Calvert Global Energy | Voya Russia vs. Firsthand Alternative Energy | Voya Russia vs. Goldman Sachs Mlp | Voya Russia vs. Oil Gas Ultrasector |
| Sit Small vs. T Rowe Price | Sit Small vs. T Rowe Price | Sit Small vs. T Rowe Price | Sit Small vs. Midcap Fund Class |
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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Other Complementary Tools
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Bonds Directory Find actively traded corporate debentures issued by US companies |