Correlation Between Mainstay Mackay and Mainstay New
Can any of the company-specific risk be diversified away by investing in both Mainstay Mackay and Mainstay New 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 Mainstay Mackay and Mainstay New into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Mainstay Mackay New and Mainstay New York, you can compare the effects of market volatilities on Mainstay Mackay and Mainstay New 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 Mainstay Mackay with a short position of Mainstay New. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mainstay Mackay and Mainstay New.
Diversification Opportunities for Mainstay Mackay and Mainstay New
1.0 | Correlation Coefficient |
No risk reduction
The 3 months correlation between Mainstay and Mainstay is 1.0. Overlapping area represents the amount of risk that can be diversified away by holding Mainstay Mackay New and Mainstay New York in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mainstay New York and Mainstay Mackay 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 Mainstay Mackay New are associated (or correlated) with Mainstay New. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mainstay New York has no effect on the direction of Mainstay Mackay i.e., Mainstay Mackay and Mainstay New go up and down completely randomly.
Pair Corralation between Mainstay Mackay and Mainstay New
Assuming the 90 days horizon Mainstay Mackay is expected to generate 1.03 times less return on investment than Mainstay New. But when comparing it to its historical volatility, Mainstay Mackay New is 1.02 times less risky than Mainstay New. It trades about 0.07 of its potential returns per unit of risk. Mainstay New York is currently generating about 0.07 of returns per unit of risk over similar time horizon. If you would invest 896.00 in Mainstay New York on August 29, 2024 and sell it today you would earn a total of 80.00 from holding Mainstay New York or generate 8.93% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Mainstay Mackay New vs. Mainstay New York
Performance |
| Timeline |
| Mainstay Mackay New |
| Mainstay New York |
Mainstay Mackay and Mainstay New Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Mainstay Mackay and Mainstay New
The main advantage of trading using opposite Mainstay Mackay and Mainstay New positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Mainstay Mackay position performs unexpectedly, Mainstay New 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 New will offset losses from the drop in Mainstay New's long position.| Mainstay Mackay vs. Invesco Rochester New | Mainstay Mackay vs. Oppenheimer Rochester | Mainstay Mackay vs. Oppenheimer Rochester | Mainstay Mackay vs. Vanguard New York |
| Mainstay New vs. Locorr Dynamic Equity | Mainstay New vs. Cutler Equity | Mainstay New vs. Calamos Global Equity | Mainstay New vs. Ab Select Equity |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Other Complementary Tools
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing |