Correlation Between Shelton Funds and Mfs Municipal
Can any of the company-specific risk be diversified away by investing in both Shelton Funds and Mfs Municipal 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 Shelton Funds and Mfs Municipal into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Shelton Funds and Mfs Municipal Income, you can compare the effects of market volatilities on Shelton Funds and Mfs Municipal 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 Shelton Funds with a short position of Mfs Municipal. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shelton Funds and Mfs Municipal.
Diversification Opportunities for Shelton Funds and Mfs Municipal
-0.44 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Shelton and Mfs is -0.44. Overlapping area represents the amount of risk that can be diversified away by holding Shelton Funds and Mfs Municipal Income in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mfs Municipal Income and Shelton Funds 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 Shelton Funds are associated (or correlated) with Mfs Municipal. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mfs Municipal Income has no effect on the direction of Shelton Funds i.e., Shelton Funds and Mfs Municipal go up and down completely randomly.
Pair Corralation between Shelton Funds and Mfs Municipal
Assuming the 90 days horizon Shelton Funds is expected to under-perform the Mfs Municipal. In addition to that, Shelton Funds is 9.71 times more volatile than Mfs Municipal Income. It trades about -0.11 of its total potential returns per unit of risk. Mfs Municipal Income is currently generating about 0.0 per unit of volatility. If you would invest 827.00 in Mfs Municipal Income on September 15, 2024 and sell it today you would earn a total of 0.00 from holding Mfs Municipal Income or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 95.45% |
| Values | Daily Returns |
Shelton Funds vs. Mfs Municipal Income
Performance |
| Timeline |
| Shelton Funds |
| Mfs Municipal Income |
Shelton Funds and Mfs Municipal Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Shelton Funds and Mfs Municipal
The main advantage of trading using opposite Shelton Funds and Mfs Municipal positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Shelton Funds position performs unexpectedly, Mfs Municipal 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 Mfs Municipal will offset losses from the drop in Mfs Municipal's long position.| Shelton Funds vs. Ab Global Real | Shelton Funds vs. Legg Mason Global | Shelton Funds vs. Artisan Global Unconstrained | Shelton Funds vs. Ab Global Bond |
| Mfs Municipal vs. Rbc Funds Trust | Mfs Municipal vs. Issachar Fund Class | Mfs Municipal vs. L Abbett Fundamental | Mfs Municipal vs. Shelton Funds |
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 Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.
Other Complementary Tools
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation |