Correlation Between Siit Equity and Putnam Dynamic
Can any of the company-specific risk be diversified away by investing in both Siit Equity and Putnam Dynamic 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 Siit Equity and Putnam Dynamic into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Siit Equity Factor and Putnam Dynamic Asset, you can compare the effects of market volatilities on Siit Equity and Putnam Dynamic 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 Siit Equity with a short position of Putnam Dynamic. Check out your portfolio center. Please also check ongoing floating volatility patterns of Siit Equity and Putnam Dynamic.
Diversification Opportunities for Siit Equity and Putnam Dynamic
0.93 | Correlation Coefficient |
Almost no diversification
The 3 months correlation between Siit and PUTNAM is 0.93. Overlapping area represents the amount of risk that can be diversified away by holding Siit Equity Factor and Putnam Dynamic Asset in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Putnam Dynamic Asset and Siit Equity 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 Siit Equity Factor are associated (or correlated) with Putnam Dynamic. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Putnam Dynamic Asset has no effect on the direction of Siit Equity i.e., Siit Equity and Putnam Dynamic go up and down completely randomly.
Pair Corralation between Siit Equity and Putnam Dynamic
Assuming the 90 days horizon Siit Equity Factor is expected to generate 0.96 times more return on investment than Putnam Dynamic. However, Siit Equity Factor is 1.04 times less risky than Putnam Dynamic. It trades about 0.0 of its potential returns per unit of risk. Putnam Dynamic Asset is currently generating about -0.06 per unit of risk. If you would invest 1,510 in Siit Equity Factor on October 24, 2024 and sell it today you would lose (13.00) from holding Siit Equity Factor or give up 0.86% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Strong |
| Accuracy | 100.0% |
| Values | Daily Returns |
Siit Equity Factor vs. Putnam Dynamic Asset
Performance |
| Timeline |
| Siit Equity Factor |
| Putnam Dynamic Asset |
Siit Equity and Putnam Dynamic Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Siit Equity and Putnam Dynamic
The main advantage of trading using opposite Siit Equity and Putnam Dynamic positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Siit Equity position performs unexpectedly, Putnam Dynamic 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 Dynamic will offset losses from the drop in Putnam Dynamic's long position.| Siit Equity vs. Fwnhtx | Siit Equity vs. Wmcapx | Siit Equity vs. Leggmason Partners Institutional | Siit Equity vs. Abr 7525 Volatility |
| Putnam Dynamic vs. Gold Portfolio Fidelity | Putnam Dynamic vs. Oppenheimer Gold Special | Putnam Dynamic vs. The Gold Bullion | Putnam Dynamic vs. World Precious Minerals |
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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Other Complementary Tools
| Portfolio Holdings Check your current holdings and cash postion to detemine if your portfolio needs rebalancing | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges |