Correlation Between Mirova Global and Barings Us
Can any of the company-specific risk be diversified away by investing in both Mirova Global and Barings Us 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 Mirova Global and Barings Us into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Mirova Global Green and Barings High Yield, you can compare the effects of market volatilities on Mirova Global and Barings Us 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 Mirova Global with a short position of Barings Us. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mirova Global and Barings Us.
Diversification Opportunities for Mirova Global and Barings Us
0.29 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Mirova and Barings is 0.29. Overlapping area represents the amount of risk that can be diversified away by holding Mirova Global Green and Barings High Yield in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Barings High Yield and Mirova Global 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 Mirova Global Green are associated (or correlated) with Barings Us. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Barings High Yield has no effect on the direction of Mirova Global i.e., Mirova Global and Barings Us go up and down completely randomly.
Pair Corralation between Mirova Global and Barings Us
Assuming the 90 days horizon Mirova Global is expected to generate 3.3 times less return on investment than Barings Us. In addition to that, Mirova Global is 1.35 times more volatile than Barings High Yield. It trades about 0.03 of its total potential returns per unit of risk. Barings High Yield is currently generating about 0.13 per unit of volatility. If you would invest 683.00 in Barings High Yield on September 2, 2024 and sell it today you would earn a total of 136.00 from holding Barings High Yield or generate 19.91% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Mirova Global Green vs. Barings High Yield
Performance |
| Timeline |
| Mirova Global Green |
| Barings High Yield |
Mirova Global and Barings Us Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Mirova Global and Barings Us
The main advantage of trading using opposite Mirova Global and Barings Us positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Mirova Global position performs unexpectedly, Barings Us 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 Barings Us will offset losses from the drop in Barings Us' long position.| Mirova Global vs. Fidelity Advisor Gold | Mirova Global vs. Goldman Sachs Esg | Mirova Global vs. Gabelli Gold Fund | Mirova Global vs. Global Gold Fund |
| Barings Us vs. Mirova Global Green | Barings Us vs. T Rowe Price | Barings Us vs. Ms Global Fixed | Barings Us vs. T Rowe Price |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
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