Correlation Between Blrc Sgy and Mainstay Epoch
Can any of the company-specific risk be diversified away by investing in both Blrc Sgy and Mainstay Epoch 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 Blrc Sgy and Mainstay Epoch into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Blrc Sgy Mnp and Mainstay Epoch Capital, you can compare the effects of market volatilities on Blrc Sgy and Mainstay Epoch 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 Blrc Sgy with a short position of Mainstay Epoch. Check out your portfolio center. Please also check ongoing floating volatility patterns of Blrc Sgy and Mainstay Epoch.
Diversification Opportunities for Blrc Sgy and Mainstay Epoch
-0.23 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Blrc and Mainstay is -0.23. Overlapping area represents the amount of risk that can be diversified away by holding Blrc Sgy Mnp and Mainstay Epoch Capital in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mainstay Epoch Capital and Blrc Sgy 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 Blrc Sgy Mnp are associated (or correlated) with Mainstay Epoch. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mainstay Epoch Capital has no effect on the direction of Blrc Sgy i.e., Blrc Sgy and Mainstay Epoch go up and down completely randomly.
Pair Corralation between Blrc Sgy and Mainstay Epoch
Assuming the 90 days horizon Blrc Sgy is expected to generate 1.86 times less return on investment than Mainstay Epoch. But when comparing it to its historical volatility, Blrc Sgy Mnp is 2.03 times less risky than Mainstay Epoch. It trades about 0.26 of its potential returns per unit of risk. Mainstay Epoch Capital is currently generating about 0.24 of returns per unit of risk over similar time horizon. If you would invest 1,526 in Mainstay Epoch Capital on September 2, 2024 and sell it today you would earn a total of 54.00 from holding Mainstay Epoch Capital or generate 3.54% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Blrc Sgy Mnp vs. Mainstay Epoch Capital
Performance |
| Timeline |
| Blrc Sgy Mnp |
| Mainstay Epoch Capital |
Blrc Sgy and Mainstay Epoch Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Blrc Sgy and Mainstay Epoch
The main advantage of trading using opposite Blrc Sgy and Mainstay Epoch positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Blrc Sgy position performs unexpectedly, Mainstay Epoch 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 Mainstay Epoch will offset losses from the drop in Mainstay Epoch's long position.| Blrc Sgy vs. Goldman Sachs Real | Blrc Sgy vs. Simt Real Estate | Blrc Sgy vs. Fidelity Real Estate | Blrc Sgy vs. Commonwealth Real Estate |
| Mainstay Epoch vs. Mainstay Tax Free | Mainstay Epoch vs. Mainstay Large Cap | Mainstay Epoch vs. Mainstay Large Cap | Mainstay Epoch vs. Mainstay Large Cap |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
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