Correlation Between Qs Global and Loomis Sayles
Can any of the company-specific risk be diversified away by investing in both Qs Global and Loomis Sayles 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 Qs Global and Loomis Sayles into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Qs Global Equity and Loomis Sayles International, you can compare the effects of market volatilities on Qs Global and Loomis Sayles 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 Qs Global with a short position of Loomis Sayles. Check out your portfolio center. Please also check ongoing floating volatility patterns of Qs Global and Loomis Sayles.
Diversification Opportunities for Qs Global and Loomis Sayles
0.65 | Correlation Coefficient |
Poor diversification
The 3 months correlation between SMYIX and Loomis is 0.65. Overlapping area represents the amount of risk that can be diversified away by holding Qs Global Equity and Loomis Sayles International in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Loomis Sayles Intern and Qs Global 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 Qs Global Equity are associated (or correlated) with Loomis Sayles. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Loomis Sayles Intern has no effect on the direction of Qs Global i.e., Qs Global and Loomis Sayles go up and down completely randomly.
Pair Corralation between Qs Global and Loomis Sayles
Assuming the 90 days horizon Qs Global Equity is expected to generate 0.76 times more return on investment than Loomis Sayles. However, Qs Global Equity is 1.32 times less risky than Loomis Sayles. It trades about 0.12 of its potential returns per unit of risk. Loomis Sayles International is currently generating about 0.08 per unit of risk. If you would invest 1,628 in Qs Global Equity on September 12, 2024 and sell it today you would earn a total of 966.00 from holding Qs Global Equity or generate 59.34% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 99.8% |
| Values | Daily Returns |
Qs Global Equity vs. Loomis Sayles International
Performance |
| Timeline |
| Qs Global Equity |
| Loomis Sayles Intern |
Qs Global and Loomis Sayles Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Qs Global and Loomis Sayles
The main advantage of trading using opposite Qs Global and Loomis Sayles positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Qs Global position performs unexpectedly, Loomis Sayles 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 Loomis Sayles will offset losses from the drop in Loomis Sayles' long position.| Qs Global vs. Eaton Vance Tax Managed | Qs Global vs. Artisan Global Opportunities | Qs Global vs. Sit International Growth | Qs Global vs. Global Stock Fund |
| Loomis Sayles vs. Vy Jpmorgan Emerging | Loomis Sayles vs. Origin Emerging Markets | Loomis Sayles vs. Shelton Emerging Markets | Loomis Sayles vs. Pace International Emerging |
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 CEOs Directory module to screen CEOs from public companies around the world.
Other Complementary Tools
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine |