Correlation Between Loomis Sayles and Blrc Sgy
Can any of the company-specific risk be diversified away by investing in both Loomis Sayles and Blrc Sgy 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 Loomis Sayles and Blrc Sgy into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Loomis Sayles International and Blrc Sgy Mnp, you can compare the effects of market volatilities on Loomis Sayles and Blrc Sgy 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 Loomis Sayles with a short position of Blrc Sgy. Check out your portfolio center. Please also check ongoing floating volatility patterns of Loomis Sayles and Blrc Sgy.
Diversification Opportunities for Loomis Sayles and Blrc Sgy
-0.13 | Correlation Coefficient |
Good diversification
The 3 months correlation between Loomis and Blrc is -0.13. Overlapping area represents the amount of risk that can be diversified away by holding Loomis Sayles International and Blrc Sgy Mnp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Blrc Sgy Mnp and Loomis Sayles 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 Loomis Sayles International are associated (or correlated) with Blrc Sgy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Blrc Sgy Mnp has no effect on the direction of Loomis Sayles i.e., Loomis Sayles and Blrc Sgy go up and down completely randomly.
Pair Corralation between Loomis Sayles and Blrc Sgy
Assuming the 90 days horizon Loomis Sayles International is expected to generate 2.24 times more return on investment than Blrc Sgy. However, Loomis Sayles is 2.24 times more volatile than Blrc Sgy Mnp. It trades about 0.2 of its potential returns per unit of risk. Blrc Sgy Mnp is currently generating about 0.25 per unit of risk. If you would invest 1,071 in Loomis Sayles International on September 1, 2024 and sell it today you would earn a total of 35.00 from holding Loomis Sayles International or generate 3.27% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Loomis Sayles International vs. Blrc Sgy Mnp
Performance |
| Timeline |
| Loomis Sayles Intern |
| Blrc Sgy Mnp |
Loomis Sayles and Blrc Sgy Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Loomis Sayles and Blrc Sgy
The main advantage of trading using opposite Loomis Sayles and Blrc Sgy positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Loomis Sayles position performs unexpectedly, Blrc Sgy 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 Blrc Sgy will offset losses from the drop in Blrc Sgy's long position.| Loomis Sayles vs. Blrc Sgy Mnp | Loomis Sayles vs. Morningstar Municipal Bond | Loomis Sayles vs. California High Yield Municipal | Loomis Sayles vs. The National Tax Free |
| Blrc Sgy vs. Blackrock California Municipal | Blrc Sgy vs. Blackrock Balanced Capital | Blrc Sgy vs. Blackrock Eurofund Class | Blrc Sgy vs. Blackrock Funds |
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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
Other Complementary Tools
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency |