Correlation Between Oppenheimer Global and Franklin Mutual
Can any of the company-specific risk be diversified away by investing in both Oppenheimer Global and Franklin Mutual 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 Oppenheimer Global and Franklin Mutual into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oppenheimer Global High and Franklin Mutual Global, you can compare the effects of market volatilities on Oppenheimer Global and Franklin Mutual 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 Oppenheimer Global with a short position of Franklin Mutual. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oppenheimer Global and Franklin Mutual.
Diversification Opportunities for Oppenheimer Global and Franklin Mutual
-0.13 | Correlation Coefficient |
Good diversification
The 3 months correlation between Oppenheimer and Franklin is -0.13. Overlapping area represents the amount of risk that can be diversified away by holding Oppenheimer Global High and Franklin Mutual Global in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Franklin Mutual Global and Oppenheimer Global 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 Oppenheimer Global High are associated (or correlated) with Franklin Mutual. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Franklin Mutual Global has no effect on the direction of Oppenheimer Global i.e., Oppenheimer Global and Franklin Mutual go up and down completely randomly.
Pair Corralation between Oppenheimer Global and Franklin Mutual
If you would invest 3,136 in Franklin Mutual Global on September 5, 2024 and sell it today you would earn a total of 71.00 from holding Franklin Mutual Global or generate 2.26% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 4.55% |
| Values | Daily Returns |
Oppenheimer Global High vs. Franklin Mutual Global
Performance |
| Timeline |
| Oppenheimer Global High |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Franklin Mutual Global |
Oppenheimer Global and Franklin Mutual Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oppenheimer Global and Franklin Mutual
The main advantage of trading using opposite Oppenheimer Global and Franklin Mutual positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oppenheimer Global position performs unexpectedly, Franklin Mutual 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 Franklin Mutual will offset losses from the drop in Franklin Mutual's long position.| Oppenheimer Global vs. Franklin Mutual Global | Oppenheimer Global vs. Siit Global Managed | Oppenheimer Global vs. Artisan Global Unconstrained | Oppenheimer Global vs. Ab Global Bond |
| Franklin Mutual vs. Scharf Global Opportunity | Franklin Mutual vs. Fm Investments Large | Franklin Mutual vs. Volumetric Fund Volumetric | Franklin Mutual vs. Rbb 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 Equity Valuation module to check real value of public entities based on technical and fundamental data.
Other Complementary Tools
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal |