Correlation Between Mid Cap and Segall Bryant
Can any of the company-specific risk be diversified away by investing in both Mid Cap and Segall Bryant 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 Mid Cap and Segall Bryant into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Mid Cap Value Profund and Segall Bryant Hamill, you can compare the effects of market volatilities on Mid Cap and Segall Bryant 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 Mid Cap with a short position of Segall Bryant. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mid Cap and Segall Bryant.
Diversification Opportunities for Mid Cap and Segall Bryant
-0.57 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Mid and Segall is -0.57. Overlapping area represents the amount of risk that can be diversified away by holding Mid Cap Value Profund and Segall Bryant Hamill in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Segall Bryant Hamill and Mid Cap 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 Mid Cap Value Profund are associated (or correlated) with Segall Bryant. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Segall Bryant Hamill has no effect on the direction of Mid Cap i.e., Mid Cap and Segall Bryant go up and down completely randomly.
Pair Corralation between Mid Cap and Segall Bryant
Assuming the 90 days horizon Mid Cap Value Profund is expected to under-perform the Segall Bryant. In addition to that, Mid Cap is 1.16 times more volatile than Segall Bryant Hamill. It trades about -0.03 of its total potential returns per unit of risk. Segall Bryant Hamill is currently generating about 0.02 per unit of volatility. If you would invest 1,161 in Segall Bryant Hamill on September 12, 2024 and sell it today you would earn a total of 2.00 from holding Segall Bryant Hamill or generate 0.17% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Mid Cap Value Profund vs. Segall Bryant Hamill
Performance |
| Timeline |
| Mid Cap Value |
| Segall Bryant Hamill |
Mid Cap and Segall Bryant Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Mid Cap and Segall Bryant
The main advantage of trading using opposite Mid Cap and Segall Bryant positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Mid Cap position performs unexpectedly, Segall Bryant 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 Segall Bryant will offset losses from the drop in Segall Bryant's long position.| Mid Cap vs. Inverse Government Long | Mid Cap vs. Schwab Government Money | Mid Cap vs. Goldman Sachs Government | Mid Cap vs. Payden Government Fund |
| Segall Bryant vs. Barings Active Short | Segall Bryant vs. Franklin Federal Limited Term | Segall Bryant vs. Easterly Snow Longshort | Segall Bryant vs. Alpine Ultra Short |
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 Alpha Finder module to use alpha and beta coefficients to find investment opportunities after accounting for the risk.
Other Complementary Tools
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation |