Correlation Between Osterweis Emerging and Greenspring Fund
Can any of the company-specific risk be diversified away by investing in both Osterweis Emerging and Greenspring Fund 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 Osterweis Emerging and Greenspring Fund into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Osterweis Emerging Opportunity and Greenspring Fund Retail, you can compare the effects of market volatilities on Osterweis Emerging and Greenspring Fund 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 Osterweis Emerging with a short position of Greenspring Fund. Check out your portfolio center. Please also check ongoing floating volatility patterns of Osterweis Emerging and Greenspring Fund.
Diversification Opportunities for Osterweis Emerging and Greenspring Fund
0.9 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Osterweis and Greenspring is 0.9. Overlapping area represents the amount of risk that can be diversified away by holding Osterweis Emerging Opportunity and Greenspring Fund Retail in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Greenspring Fund Retail and Osterweis Emerging 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 Osterweis Emerging Opportunity are associated (or correlated) with Greenspring Fund. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Greenspring Fund Retail has no effect on the direction of Osterweis Emerging i.e., Osterweis Emerging and Greenspring Fund go up and down completely randomly.
Pair Corralation between Osterweis Emerging and Greenspring Fund
Assuming the 90 days horizon Osterweis Emerging Opportunity is expected to generate 1.32 times more return on investment than Greenspring Fund. However, Osterweis Emerging is 1.32 times more volatile than Greenspring Fund Retail. It trades about 0.11 of its potential returns per unit of risk. Greenspring Fund Retail is currently generating about 0.09 per unit of risk. If you would invest 1,624 in Osterweis Emerging Opportunity on August 29, 2024 and sell it today you would earn a total of 278.00 from holding Osterweis Emerging Opportunity or generate 17.12% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Osterweis Emerging Opportunity vs. Greenspring Fund Retail
Performance |
| Timeline |
| Osterweis Emerging |
| Greenspring Fund Retail |
Osterweis Emerging and Greenspring Fund Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Osterweis Emerging and Greenspring Fund
The main advantage of trading using opposite Osterweis Emerging and Greenspring Fund positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Osterweis Emerging position performs unexpectedly, Greenspring Fund 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 Greenspring Fund will offset losses from the drop in Greenspring Fund's long position.| Osterweis Emerging vs. Gamco Natural Resources | Osterweis Emerging vs. Franklin Natural Resources | Osterweis Emerging vs. Ivy Natural Resources | Osterweis Emerging vs. Alpsalerian Energy Infrastructure |
| Greenspring Fund vs. Berwyn Income Fund | Greenspring Fund vs. Fpa Crescent Fund | Greenspring Fund vs. James Balanced Golden | Greenspring Fund vs. Permanent Portfolio Class |
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 Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
Other Complementary Tools
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges |