Correlation Between Oklahoma Municipal and Hewitt Money
Can any of the company-specific risk be diversified away by investing in both Oklahoma Municipal and Hewitt Money 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 Oklahoma Municipal and Hewitt Money into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oklahoma Municipal Fund and Hewitt Money Market, you can compare the effects of market volatilities on Oklahoma Municipal and Hewitt Money 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 Oklahoma Municipal with a short position of Hewitt Money. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oklahoma Municipal and Hewitt Money.
Diversification Opportunities for Oklahoma Municipal and Hewitt Money
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Oklahoma and Hewitt is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Oklahoma Municipal Fund and Hewitt Money Market in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hewitt Money Market and Oklahoma Municipal 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 Oklahoma Municipal Fund are associated (or correlated) with Hewitt Money. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hewitt Money Market has no effect on the direction of Oklahoma Municipal i.e., Oklahoma Municipal and Hewitt Money go up and down completely randomly.
Pair Corralation between Oklahoma Municipal and Hewitt Money
If you would invest 1,060 in Oklahoma Municipal Fund on August 31, 2024 and sell it today you would earn a total of 6.00 from holding Oklahoma Municipal Fund or generate 0.57% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 98.44% |
| Values | Daily Returns |
Oklahoma Municipal Fund vs. Hewitt Money Market
Performance |
| Timeline |
| Oklahoma Municipal |
| Hewitt Money Market |
Oklahoma Municipal and Hewitt Money Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oklahoma Municipal and Hewitt Money
The main advantage of trading using opposite Oklahoma Municipal and Hewitt Money positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oklahoma Municipal position performs unexpectedly, Hewitt Money 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 Hewitt Money will offset losses from the drop in Hewitt Money's long position.| Oklahoma Municipal vs. Colorado Bondshares A | Oklahoma Municipal vs. Virginia Bond Fund | Oklahoma Municipal vs. Usaa Virginia Bond | Oklahoma Municipal vs. Virginia Bond Fund |
| Hewitt Money vs. Dunham High Yield | Hewitt Money vs. Pioneer High Yield | Hewitt Money vs. Mesirow Financial High | Hewitt Money vs. Prudential Short Duration |
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 Search module to search for actively traded equities including funds and ETFs from over 30 global markets.
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