Correlation Between Crossmark Steward and Dreyfus Technology
Can any of the company-specific risk be diversified away by investing in both Crossmark Steward and Dreyfus Technology 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 Crossmark Steward and Dreyfus Technology into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Crossmark Steward Equity and Dreyfus Technology Growth, you can compare the effects of market volatilities on Crossmark Steward and Dreyfus Technology 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 Crossmark Steward with a short position of Dreyfus Technology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Crossmark Steward and Dreyfus Technology.
Diversification Opportunities for Crossmark Steward and Dreyfus Technology
-0.83 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Crossmark and Dreyfus is -0.83. Overlapping area represents the amount of risk that can be diversified away by holding Crossmark Steward Equity and Dreyfus Technology Growth in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dreyfus Technology Growth and Crossmark Steward 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 Crossmark Steward Equity are associated (or correlated) with Dreyfus Technology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dreyfus Technology Growth has no effect on the direction of Crossmark Steward i.e., Crossmark Steward and Dreyfus Technology go up and down completely randomly.
Pair Corralation between Crossmark Steward and Dreyfus Technology
Assuming the 90 days horizon Crossmark Steward is expected to generate 5.53 times less return on investment than Dreyfus Technology. But when comparing it to its historical volatility, Crossmark Steward Equity is 2.58 times less risky than Dreyfus Technology. It trades about 0.03 of its potential returns per unit of risk. Dreyfus Technology Growth is currently generating about 0.06 of returns per unit of risk over similar time horizon. If you would invest 5,312 in Dreyfus Technology Growth on December 13, 2024 and sell it today you would earn a total of 1,908 from holding Dreyfus Technology Growth or generate 35.92% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Crossmark Steward Equity vs. Dreyfus Technology Growth
Performance |
| Timeline |
| Crossmark Steward Equity |
| Dreyfus Technology Growth |
Crossmark Steward and Dreyfus Technology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Crossmark Steward and Dreyfus Technology
The main advantage of trading using opposite Crossmark Steward and Dreyfus Technology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Crossmark Steward position performs unexpectedly, Dreyfus Technology 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 Dreyfus Technology will offset losses from the drop in Dreyfus Technology's long position.| Crossmark Steward vs. Federated Government Income | ||
| Crossmark Steward vs. Bbh Intermediate Municipal | ||
| Crossmark Steward vs. Baird Quality Intermediate | ||
| Crossmark Steward vs. Legg Mason Partners |
| Dreyfus Technology vs. Aqr Long Short Equity | ||
| Dreyfus Technology vs. Crossmark Steward Equity | ||
| Dreyfus Technology vs. Barings Emerging Markets | ||
| Dreyfus Technology vs. Pnc Emerging Markets |
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Other Complementary Tools
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals |