Correlation Between Mainstay Epoch and Mainstay New
Can any of the company-specific risk be diversified away by investing in both Mainstay Epoch 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 Epoch 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 Epoch Small and Mainstay New York, you can compare the effects of market volatilities on Mainstay Epoch 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 Epoch with a short position of Mainstay New. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mainstay Epoch and Mainstay New.
Diversification Opportunities for Mainstay Epoch and Mainstay New
-0.22 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Mainstay and Mainstay is -0.22. Overlapping area represents the amount of risk that can be diversified away by holding Mainstay Epoch Small 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 Epoch 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 Epoch Small 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 Epoch i.e., Mainstay Epoch and Mainstay New go up and down completely randomly.
Pair Corralation between Mainstay Epoch and Mainstay New
Assuming the 90 days horizon Mainstay Epoch Small is expected to generate 4.67 times more return on investment than Mainstay New. However, Mainstay Epoch is 4.67 times more volatile than Mainstay New York. It trades about 0.06 of its potential returns per unit of risk. Mainstay New York is currently generating about 0.08 per unit of risk. If you would invest 1,662 in Mainstay Epoch Small on August 29, 2024 and sell it today you would earn a total of 422.00 from holding Mainstay Epoch Small or generate 25.39% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Mainstay Epoch Small vs. Mainstay New York
Performance |
| Timeline |
| Mainstay Epoch Small |
| Mainstay New York |
Mainstay Epoch and Mainstay New Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Mainstay Epoch and Mainstay New
The main advantage of trading using opposite Mainstay Epoch and Mainstay New positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Mainstay Epoch 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 Epoch vs. Goldman Sachs Trust | Mainstay Epoch vs. Davis Financial Fund | Mainstay Epoch vs. Icon Financial Fund | Mainstay Epoch vs. Mesirow Financial Small |
| 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 Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.
Other Complementary Tools
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals |