Correlation Between Neuberger Berman and Keeley Small
Can any of the company-specific risk be diversified away by investing in both Neuberger Berman and Keeley Small 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 Neuberger Berman and Keeley Small into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Neuberger Berman High and Keeley Small Cap, you can compare the effects of market volatilities on Neuberger Berman and Keeley Small 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 Neuberger Berman with a short position of Keeley Small. Check out your portfolio center. Please also check ongoing floating volatility patterns of Neuberger Berman and Keeley Small.
Diversification Opportunities for Neuberger Berman and Keeley Small
-0.19 | Correlation Coefficient |
Good diversification
The 3 months correlation between Neuberger and Keeley is -0.19. Overlapping area represents the amount of risk that can be diversified away by holding Neuberger Berman High and Keeley Small Cap in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Keeley Small Cap and Neuberger Berman 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 Neuberger Berman High are associated (or correlated) with Keeley Small. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Keeley Small Cap has no effect on the direction of Neuberger Berman i.e., Neuberger Berman and Keeley Small go up and down completely randomly.
Pair Corralation between Neuberger Berman and Keeley Small
Considering the 90-day investment horizon Neuberger Berman High is expected to generate 0.59 times more return on investment than Keeley Small. However, Neuberger Berman High is 1.7 times less risky than Keeley Small. It trades about 0.4 of its potential returns per unit of risk. Keeley Small Cap is currently generating about -0.21 per unit of risk. If you would invest 753.00 in Neuberger Berman High on December 1, 2024 and sell it today you would earn a total of 31.00 from holding Neuberger Berman High or generate 4.12% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Neuberger Berman High vs. Keeley Small Cap
Performance |
| Timeline |
| Neuberger Berman High |
| Keeley Small Cap |
Neuberger Berman and Keeley Small Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Neuberger Berman and Keeley Small
The main advantage of trading using opposite Neuberger Berman and Keeley Small positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Neuberger Berman position performs unexpectedly, Keeley Small 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 Keeley Small will offset losses from the drop in Keeley Small's long position.| Neuberger Berman vs. Alliancebernstein National Municipal | Neuberger Berman vs. Pioneer Diversified High | Neuberger Berman vs. Highland Floating Rate | Neuberger Berman vs. BlackRock Health Sciences |
| Keeley Small vs. Touchstone Small Cap | Keeley Small vs. Goldman Sachs Small | Keeley Small vs. Ab Small Cap | Keeley Small vs. Small Pany Growth |
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 Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
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