Correlation Between Loomis Sayles and Artisan Thematic
Can any of the company-specific risk be diversified away by investing in both Loomis Sayles and Artisan Thematic 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 Loomis Sayles and Artisan Thematic into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Loomis Sayles Strategic and Artisan Thematic Fund, you can compare the effects of market volatilities on Loomis Sayles and Artisan Thematic 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 Loomis Sayles with a short position of Artisan Thematic. Check out your portfolio center. Please also check ongoing floating volatility patterns of Loomis Sayles and Artisan Thematic.
Diversification Opportunities for Loomis Sayles and Artisan Thematic
0.36 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Loomis and Artisan is 0.36. Overlapping area represents the amount of risk that can be diversified away by holding Loomis Sayles Strategic and Artisan Thematic Fund in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Artisan Thematic and Loomis Sayles 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 Loomis Sayles Strategic are associated (or correlated) with Artisan Thematic. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Artisan Thematic has no effect on the direction of Loomis Sayles i.e., Loomis Sayles and Artisan Thematic go up and down completely randomly.
Pair Corralation between Loomis Sayles and Artisan Thematic
Assuming the 90 days horizon Loomis Sayles is expected to generate 2.31 times less return on investment than Artisan Thematic. But when comparing it to its historical volatility, Loomis Sayles Strategic is 4.0 times less risky than Artisan Thematic. It trades about 0.18 of its potential returns per unit of risk. Artisan Thematic Fund is currently generating about 0.1 of returns per unit of risk over similar time horizon. If you would invest 2,210 in Artisan Thematic Fund on September 3, 2024 and sell it today you would earn a total of 313.00 from holding Artisan Thematic Fund or generate 14.16% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Loomis Sayles Strategic vs. Artisan Thematic Fund
Performance |
| Timeline |
| Loomis Sayles Strategic |
| Artisan Thematic |
Loomis Sayles and Artisan Thematic Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Loomis Sayles and Artisan Thematic
The main advantage of trading using opposite Loomis Sayles and Artisan Thematic positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Loomis Sayles position performs unexpectedly, Artisan Thematic 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 Artisan Thematic will offset losses from the drop in Artisan Thematic's long position.| Loomis Sayles vs. Artisan Thematic Fund | Loomis Sayles vs. Semiconductor Ultrasector Profund | Loomis Sayles vs. Nationwide Global Equity | Loomis Sayles vs. T Rowe Price |
| Artisan Thematic vs. Gmo High Yield | Artisan Thematic vs. Maryland Tax Free Bond | Artisan Thematic vs. T Rowe Price | Artisan Thematic vs. California Bond Fund |
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 Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
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