Correlation Between Putnam International and Putnam High
Can any of the company-specific risk be diversified away by investing in both Putnam International and Putnam High 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 Putnam International and Putnam High into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Putnam International Value and Putnam High Yield, you can compare the effects of market volatilities on Putnam International and Putnam High 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 Putnam International with a short position of Putnam High. Check out your portfolio center. Please also check ongoing floating volatility patterns of Putnam International and Putnam High.
Diversification Opportunities for Putnam International and Putnam High
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Putnam and Putnam is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Putnam International Value and Putnam High Yield in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Putnam High Yield and Putnam International 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 Putnam International Value are associated (or correlated) with Putnam High. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Putnam High Yield has no effect on the direction of Putnam International i.e., Putnam International and Putnam High go up and down completely randomly.
Pair Corralation between Putnam International and Putnam High
If you would invest 527.00 in Putnam High Yield on November 28, 2024 and sell it today you would earn a total of 2.00 from holding Putnam High Yield or generate 0.38% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 95.45% |
| Values | Daily Returns |
Putnam International Value vs. Putnam High Yield
Performance |
| Timeline |
| Putnam International |
| Putnam High Yield |
Putnam International and Putnam High Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Putnam International and Putnam High
The main advantage of trading using opposite Putnam International and Putnam High positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Putnam International position performs unexpectedly, Putnam High 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 Putnam High will offset losses from the drop in Putnam High's long position.| Putnam International vs. Dodge Cox Emerging | Putnam International vs. Doubleline Emerging Markets | Putnam International vs. Investec Emerging Markets | Putnam International vs. Pnc Emerging Markets |
| Putnam High vs. Rmb Mendon Financial | Putnam High vs. Financial Industries Fund | Putnam High vs. Blackrock Financial Institutions | Putnam High vs. Mesirow Financial Small |
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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes |